Congratulate ONGC as G-1 gas set to flow

Vol 16, PW 25 (11 Jul 13) Exploration & Production

ONGC can pat itself on the back for a job well done as it prepares to produce gas from its first ever deepwater offshore development.

From August this year ONGC will start pumping out 700,000 cm/d from the KG offshore G-1 field 20-km off the Amalapuram coast in water depths of 205 metres to 440 metres. "We have laid a subsea pipeline to the onshore terminal,” confirms ONGC.

“Two of four wells are connected to subsea pipelines and we're ready to start production.” Oslo-listed Subsea 7, he adds, commissioned subsea production facilities in April.

But L&T has yet to commission the onshore gas processing terminal so ONGC will instead use a gas collecting station 500 metres away at Odalarevu. “L&T says it will commission the onshore facility next year,” adds ONGC.

"Until then we will lay a 500 metre pipeline to Odalarevu." ONGC expects to begin laying the pipeline in the next few days.

When L&T eventually commissions its onshore processing terminal ONGC hopes to ramp up production to 2m cm/d from four wells. A third well is completed, but not yet connected to subsea pipelines.

The fourth well (G1-D1), drilled by Transocean rig Actinia to 2700 metres TD, will be completed shortly. ONGC will use a Reliance support vessel to connect the third and fourth wells under a deal signed last October and expects G-1 to produce 2m cm/d for 15 years with all the gas sold to GAIL at the government-set wellhead price of $5/mmbtu.

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