ONGC and Prize begin work at Cluster 7
ONGC and the Prize Petroleum-led consortium that includes parent company Hindustan Petroleum and M3nergy of Malaysia held a kick-off meeting on 17th October to begin development work at the Cluster 7 marginal fields offshore Mumbai.
Prize can either use one of ONGCs platforms for secondary processing of the crude or set up its own offshore processing facilities and transport the crude to an ONGC receiving point at Usar near Mumbai, Mangalore or Hazira. Crude will be delivered to one of these locations, says a source.
This will be decided after a joint site survey. Both sides will hold their first set of working level meetings this month before agreeing a delivery point.
Once the delivery point is agreed, Prize will float a tender for a FEED study. In September, ONGC signed a service contract with the Prize-led consortium to develop the Cluster 7 set of three marginal fields.
Under the contract ONGC holds title to the oil and gas produced from the fields.