ONGC wins KG-OSN-2009/2 extension

Vol 20, PW 15 (20 Apr 17) News in Brief

ONGC has won a 12-month extension to its three-well Phase-I exploration commitment at promising NELP-VIII offshore KG basin block KG-OSN-2009/2.

But only after turning to the oil ministry for help, which signed off on the extension on March 20. An ONGC source complains the DGH had been sitting on the file since December 2015 forcing ONGC to trigger Article 3 of the New Extension Policy published by the ministry on March 28, 2016.

"Under Article 3," we hear, "An operator can get a 12-month extension at a discovery block without a penalty." A week after the ministry intervention the DGH also finally issued ONGC with an all-important Essentiality Certificate allowing the import of drilling and other oilfield services equipment duty free. Lack of this all-important document has been holding up work since January 2017.

A DGH source refused to comment. "You've already heard the story from ONGC," he snapped.

ONGC discovered oil at well KGS092NASRI-AA on April 18, 2016 at 4000 metres TD drilled by Sagar Ratna. Aban-II is presently drilling well KGS092NASRI#AB.