Indian state explorer Oil and Natural Gas Corporation (ONGC) is likely to invest $7.7 billion to develop a gas field in an east coast block and produce up to 30 million cubic meters a day in five years.
The company is seeking approval from the Directorate General of Hydrocarbons and the petroleum ministry for its proposal to drill eight additional wells in the block to maximize output from the deep-sea field.
ONGC was in talks with the Indian unit of BG Group and Italian oil major ENI to sell up to a 30% stake in an east coast block. In February, BP agreed to buy a 30% stake in 23 oil and gas blocks owned by Reliance Industries, India's most valuable listed conglomerate, for $7.2 billion.
Recently, ONGC has introduced a massive exploration drive for gas extraction in Tripura to meet the requirement of 726 MW gas-based thermal power project at Palatana in South Tripura, despite heavy rains and communication bottlenecks. The project is scheduled to start power generation by December 2012.
| Company Name | CMP |
|---|---|
| ONGC | 279.25 |
| Oil India | 454.40 |
| Jindal Drilling&Inds | 535.85 |
| Deep Industries | 457.70 |
| Asian Energy Service | 297.85 |
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