ONGC soars in stock market on oil & gas discovery at Mumbai High fields

ONGC has made a significant oil and gas discovery to the west of its prime Mumbai High fields in the Arabian Sea. Oil and Petroleum Minister Dharmendra Pradhan told Lok Sabha in a written reply. He said the discovery was made in the well WO-24-3 (WO-24-C) drilled west of Mumbai High fields. "Based on the data generated during drilling, 9 objects/zones were identified and on testing all the objects flowed oil/gas," he said. The discovery...
has indicated potential in-place reserves of about 29.74 million tonnes of oil and oil equivalent gas, he added. Mumbai High, India's biggest oil field, currently produces 205,000 barrels of oil per day (just over 10 million tonnes per annum) and the new find would add to that production in less than two years' time. ONGC is carrying out a further appraisal of the discovery and has intimated upstream regulator the Directorate General of Hydrocarbons (DGH). ONGC produced 25.5 million tonnes of oil in 2016-17, which will reach 28-29 million tonnes by 2019-20.
Mumbai High, India's biggest oil field, currently produces 205,000 barrels of oil per day (just over 10 million tonnes per annum) and the new find would add to that production in less than two years' time. ONGC is carrying out a further appraisal of the discovery and has intimated upstream regulator the Directorate General of Hydrocarbons (DGH). The new find, which comes almost 50 years after ONGC began production in Mumbai High, will help the company maintain production levels from the basin for a longer time than currently estimated.
Mumbai High is ONGC's flagship oil producing assets. It along with other small fields along the western offshore produce 16 million tonnes per annum of oil, which is 44 per cent of Indias total crude oil production of 36 million tonnes.
ONGC produced 25.5 million tonnes of oil in 2016-17, which will reach 28-29 million tonnes by 2019-20, officials said.
Maharatna ONGC is the largest producer of crude oil and natural gas in India, contributing around 70 percent of Indian domestic production. The crude oil is the raw material used by downstream companies like IOC, BPCL, HPCL to produce petroleum products like petrol, diesel, kerosene, naphtha, cooking gas-LPG.