Domestic Natural Gas Production

Oil and Natural Gas Corporation's (ONGC's) delayed Krishna Godavari basin KG-D5 project is likely to start crude oil production in May this year and gas output a year later, a senior company official said. ONGC was originally to start gas production from the Cluster-II fields in block KG-DWN-98/2 (KG-D5) in June 2019 and the first oil was to flow in March 2020. But these targets were shifted. The company blamed contracting and supply chains issues due to the pandemic for shifting the start of oil production first to November 2021, then to third quarter of 2022 and now to May 2023. Gas output start target was first revised to May 2021, then to May 2023 and now to May 2024. Company's director (offshore) Pankaj Kumar said a floating production unit, called FPSO, which will be used to produce oil, is already in Indian waters. "We estimate oil production should start in May," he said. The block is currently producing 1.7 million standard cubic metres per day (mmscmd) of natural gas. "We

The Kirit Parikh Committee, which recommended a floor and ceiling price for natural gas produced from legacy fields of state-owned producers to moderate input price for CNG and fertilizer, has favoured paying ONGC and OIL a premium of 20 per cent over such price for any new gas production they add from old fields. The panel, which submitted its report to the oil ministry last week, has recommended benchmarking price of natural gas produced from ONGC and OIL's legacy or old fields, called APM gas, at 10 per cent of cost of crude oil imported into India, according to a copy of the report seen by PTI. This rate would however be subject to a ceiling or cap price of USD 6.5 per million British thermal unit, until a full deregulation of prices is implemented in 2027. There would also be a floor of USD 4 with a view to cover for cost of production and at the same time keeping cost for fertilizer, power and CNG, which use gas as input raw material, at manageable levels. The basket of crude

Debasish Mishra, a partner at Deloitte in India, explains the impact of the latest price revision, and the future outlook for gas, in this conversation with Twesh Mishra. Listen in

India's natural gas production jumped 19.5 per cent in June, as Reliance Industries Ltd and its partner BP Plc ramped up output from their eastern offshore KG-D6 block

India's natural gas production jumped 22.7% in April after Reliance Industries Ltd and its partner BP Plc ramped up output from KG-D6 block

Two companies are developing three deep-water gas developments in block KG D6

Private and public sector firms produced less

Natural gas production remains a loss-making proposition for most fields for the Indian upstream producers

Rising availability and demand for cleaner fuels will aid growth

Currently, Cairn Oil & Gas is driving production from the Rajasthan asset and the offshore asset

Significant demand-supply gap seen opening in middle of current decade; China and India led LNG demand growth in 2020

The two companies are developing three deepwater gas projects in block KG D6, which together are expected to meet 15 per cent of India's gas demand by 2023

Contraction due to decline in production of crude oil, natural gas, refinery products and steel

Coal, electricity and steel, which constitute over half of the core sector index, showed a rise in production in September

India's crude oil production fell 6.35 per cent to 2.5 million tonnes in April for the same reason

The rate for gas produced from difficult fields will be $5.61 mBtu on gross calorific value basis.

A few companies who got blocks under DSF-I are considering surrender of their blocks too as they are left with only three months to start production

The PSU major Indian Oil Corporation said vehicle fuel and LPG supply in Tinsukia, Dibrugarh, Sivasagar, Golaghat and Jorhat districts in upper Assam have been severely affected.

CMPDI informed the ministry that a model contract document and request for proposal to select CBM developer have been prepared and submitted to coal companies, the official said.

After witnessing a decline till 2016-17 due to less than expected output from the Krishna Godavari (KG) basin and ageing wells, the country's natural gas production has bounced back, registering five per cent growth in April-August of FY17.Natural gas output is expected to expand in the coming years and touch a level of 36 billion cubic metres (bcm) by 2020, says a report by Care Ratings.The country plans to increase its gas usage in the energy mix to 15 per cent from the current 6.5 per cent. World average for gas use in energy is 24 per cent.Rise in production would also be supported by the amount of investments in exploration and production segments. As per the estimates of the Ministry of Oil & Gas, there is scope of $300 billion worth of hydrocarbon projects in the country.Reliance Industries Ltd along with its partner BP Plc, has decided to invest $6 billion for the development of new R-series gas fields in the KG-D6 block. Similarly, Oil & Natural Gas Corporation (ONGC)