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ONGC to spend 8k cr for Gujarat field overhaul

06 Dec 2010 Evaluate

Oil & Natural Gas Corporation (ONGC), the country’s biggest energy explorer, plans to spend 8,000 crore ($1.8 billion) over three years to replace ageing infrastructure and maintain production at onshore oilfields in Gujarat. The tenders for the project will be ready in two months. Additional wells will be drilled in the state’s three fields. Gujarat accounts for 23% of the company’s oil output.

ONGC is also extending the life of Mumbai High off the west coast, its biggest field, and spending 26,000 crore to develop smaller areas in the Arabian Sea to boost output by 12% in 2013. India imports more than 75% of its oil requirement to meet energy demand as production from domestic areas stagnates.

The explorer produced 24.8 million tonne of crude oil in the year ended March 31, a drop of 2% from a year earlier. Output in Gujarat was 5.8 million tonne. ONGC’s first oil discovery was made in 1960 at the Ankleshwar field in Gujarat.

ONGC Share Price

246.20 0.85 (0.35%)
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Peers
Company Name CMP
ONGC 246.20
Oil India 418.05
Jindal Drilling&Inds 580.50
Deep Industries 486.40
Asian Energy Service 368.15
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