ONGC's supply base project is firmly on track

Vol 19, PW 24 (11 Aug 16) Exploration & Production

Excitement and anticipation centre on ONGC's plan to build an additional supply base to support drilling activities in the western offshore.

Earlier there was talk the new project, estimated to be worth at least Rs1000cr ($150m), would be abandoned. Today, potential bidders will be relieved to hear ONGC has dismissed rumours it might shelve the tender.

An ONGC source stresses that the minutes of the pre-bid held on April 18 will be issued soon. "I can't give you an exact date," he says.

"We don't want to miss anything. This kind of project is being done for the first time.

Not only are commercial terms important but also ensuring efficiency in operations." Many bidders, he adds, attended the pre-bid and all sent in queries, most of them critical and related to operational parameters. "We don't want to rush things," says ONGC.

Once the pre-bid minutes are issued it will be at least three weeks before ONGC accepts bids for the tender, issued in March. Another ONGC source confirms the project has been approved by the Executive Committee.

There might be delays, he says, but it won't be shelved. Another reason for the delay, he adds, is that executive director offshore logistics CK Mishra retired end-July and his replacement SA Ravi still needs time to settle into the job and carry on where Mishra left off.