ONGC Releases Tenders for New & Marginal Oil Fields

ONGC has released tenders for leasing out its 19 new and marginal oil and gas fields located offshore western India for development and production.

E&P companies have been asked to put in Expression of Interest by January 15 for development of the fields on a service contract, company sources said.

While ONGC will retain the ownership of the fields, the service company would be paid by ONGC as a percentage (quotable item in the tender) of the price of oil and gas. The service company, which will not be given any equity stake in the fields, would have to deliver crude oil produced from the fields to ONGC.

"All the fields on offer are in Heera-Panna-Bassein block in the Arabian sea. The fields, which were discovered in early 1990s and together hold oil reserves in excess of 63 million tons, were found to be unviable for development by a company of the size of ONGC," they said.

ONGC wants to lease out the fields to smaller firms for development and production as service companies.

In most of the fields, 6-8 wells had been previously drilled and in each case hydrocarbons were found in at least two wells.

Among the fields on offer include the B-192 field, which is estimated to hold 17.09 million tons of oil and 2082.9 million standard cubic meters of gas reserves.