BackONGC to boost exploration for oil, gas; eyes collaborations
ONGC contributes around 71% of India's domestic production. However, it has reported a gradual decline in output for over a decade now primarily because its fields are old and aging.
PremiumThe Oil and Natural Gas Corporation (ONGC) is pivoting a four-pronged strategy of ramping up exploration efforts, quickly bringing discovered resources to production, raising recovery from existing fields, and increasing collaborations with experts to reverse years of decline in output, said its new chairman Arun Kumar Singh.
In an interview with news agency PTI, Singh said that India's largest oil and gas producer is keen to induct internationally renowned exploration firms as strategic partners in difficult areas such as deepsea and bring-in experts who can help raise productivity from aging and mature fields such as prime Mumbai High.
ONGC contributes around 71% of India's domestic production. However, it has reported a gradual decline in output for over a decade now primarily because its fields are old and aging. The company produced 21.707 million tonnes of crude oil and 21.68 billion cubic meters of natural gas.
Singh said that the company is focusing on three key areas---deepwater exploration, monetizing the discovered fields on a fast track, and enhancing production from producing fields through enhanced oil recovery and improved oil recovery techniques.
"We are looking for collaborations mainly for deepwater exploration. We are also open to partnerships in the other two areas if substantial value additions are brought by the partners," he told PTI.
"We know Mumbai High like the back of our hands. However, if partners can add value to our business, they are welcome. We are looking forward to all such collaborations in the India Energy Week in Bengaluru during February 6-8, 2023," he added.
The firm also believes that Indian Basins have a lot more to offer and the recent successes with Bengal Basin and Bindhyan have reinforced that belief. Also, there is a need for undertaking better exploration, and quick appraisal of the field followed by quicker development so as to monetize the find in the shortest possible time.
"Secondly, since prices are good we can bring into production whatever we have discovered; either we do it ourselves or through some private party, we have to figure out a way so that it is done in the common interest of the country," he said. “We need to develop whatever we have discovered," the ONGC Chairman further told PTI.
"Third, we have to focus on how to maximize the production of whatever we are producing currently through collaboration," he said.
The important thing for ONGC is that it is willing to collaborate and the India Energy Week beginning February 6 will provide an opportunity to discuss such collaborations with a host of international companies attending the event, he said.
He said that ONGC has a larger role because its objectives are aligned with the national interest.
"So, we have to figure out ways that cater to the national interest, which can't be done by private entities. And it is for these reasons only that we are looking forward to collaboration and partnerships in difficult fields."
(With PTI inputs)
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