India has fixed about 64% lower tariff for the Krishna Godavari basin gas pipeline network at 16.14 rupees per million British thermal units (mmbtu), according to an order by the Petroleum and Natural Gas Regulatory Board (PNGRB).
The Krishna-Godavari (KG) Basin, with prognosticated resources of 9.5 billion tonnes of oil equivalent, is poised to be a major pillar for country’s energy security, said Atanu Chakraborty, Director General, Directorate General of Hydrocarbons (DGH).
Scientists of National Institute of Oceanography (NIO) have discovered cold seeps in K-G basin which has placed India in the global cold seep map and opened up new avenues in the field of hydrate research and development, unique biodiversity/ecology and bioactive molecules that may have application in therapeutics and bio technology.
Public sector upstream giant Oil and Natural Gas Corp (ONGC) has decided to increase its borrowing limit from Rs 25,000 crore to Rs 35,000 crore in order to fund the acquisition of Hindustan Petroleum Corporation (HPCL) for which it has agreed to pay Rs 36,915-crore to the government.
Oil & Natural Gas Corp has sought higher gas prices from the government for a block it plans to develop in the KG Basin, warning that it will otherwise have to mothball the $600 million-project, company executives said.
GAIL (India) and Gujarat State Petronet ltd (GSPL) are at loggerheads over who should transport natural gas from ONGC’s KG basin fields. Both companies have filed applications before the sector regulator seeking authorisation to lay pipeline and argued their case.
ONGC has moved a step further in its bid to acquire Gujarat State Petroleum Corp’s 80 per cent stakes in Deen Dayal West (DDW) gas field in the KG basin. It will have to shell out Rs 7,738 crore for the asset.
State-owned Oil and Natural Gas Corporation (ONGC) has received environmental clearance for drilling five wells to explore shale gas and oil in the KG basin of Andhra Pradesh at an estimated cost of Rs 217 crore.
Reliance Industries and BP Plc’s $6-billion investment announcement on Thursday was prompted by the rare opportunity to develop their gas fields at rock-bottom costs and sell the output at market rates
India’s gas output and refining capacity is poised to jump in the decade ahead, oil minister Dharmendra Pradhan said.