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ONGC plans offshore operations in Bengal

Our Bureau

KOLKATA, Aug. 15

OFFSHORE operations will receive top priority in Oil & Natural Gas Corporation Ltd's action programme in West Bengal, according to Mr P.K. Adak, Regional Director, Central Regional Business Centre, ONGC.

Under NELP II, Mr Adak pointed out that ONGC had been given two blocks in West Bengal, one offshore and the other onland but adjacent to offshore. ``We will start survey of the blocks after the monsoon,'' he said.

Indian Oil Corporation would be ONGC's partner for the West Bengal operations. However, IOC's participation would be limited to financial investment.

Dr A.K. Balyan, general manager (exploration), stated that the estimated cost for undertaking the operation in next two years would be about Rs 300 crore of which Rs 100 crore would be earmarked for undertaking the survey.

As regards the onshore portion, Mr Balyan said the available data would be further processed and analysed.

Mr Adak said that, in Tripura, ONGC had been given a total area of about 5,500 sq metres, of which 2,500 sq metres had been given earlier to the American company, Oakland, which subsequently withdrew.

``We are contemplating to sub-contract the survey work to some foreign companies, and some Singapore-based and US-based companies have already shown interest,'' he said.

In Tripura, drilling by ONGC was in progress at three locations but the pace was slow. One reason was insurgency and secondly the locations were both logistically and geographically difficult, Mr Balyan said. The proposed survey by foreign firms would co ver the both the areas where ONGC was currently operating and those where it was not operating.

Another major problem in Tripura related to non-payment of dues by the Tripura State Electricity Board, amounting to Rs 30 crore, and NEEPCO, about Rs 60 crore. However, the reserve accretion target for the State for the Ninth Plan had been almost achiev ed, he added.

In Tripura, the ONGC had been given higher allocations of gas - 4.5 million cubic metre per day from the earlier 1.85 mcm. This was because the demand for gas from both domestic and industrial consumers was set for a big jump.

An additional 60,000 domestic consumers would be enrolled within the next two years while, in addition to NEEPCO, several private firms such Surya Chakra and Green Valley, both from Andhra Pradesh, proposed to set up gas-based power plants in the state. In Tripura, ONGC spent nearly Rs 120 to 150 crore annually.

Mr Adak exuded optimism over coal-based methane projects in the coalfields of Bihar and West Bengal, pointing out that the Jharia (Bihar) coal belt held out a bigger promise than the one in Ranigunge (West Bengal).

The corporation, which was yet to receive exploration licences for the Jharia coalfield, proposed to team up with Coal India Ltd for working in both Jharia and Ranigunge, he added.