The Oil and Natural Gas Corporation (ONGC) has secured environmental clearance for drilling 45 development wells and setting up other related infrastructure, entailing a cost of over Rs 530 billion in the Krishna-Godavari (KG) basin in Andhra Pradesh. It is expected that the proposed development would lead to the production of 51.33 billion cubic metres of gas over a period of 16 years. The environmental clearance is subject to certain conditions. ONGC has been asked to obtain coastal regulation zone clearance, secure approval from the Directorate General of Shipping for commencement of drilling, and comply with all recommendations and conditions specified by the Andhra Pradesh Coastal Zone Management Authority. ONGC has also been asked to use high-efficiency diesel generator sets, adopt conservation measures to protect marine life, and develop a waste minimisation plan.
ONGC’s proposal is to drill 45 development wells, set up a floating production storage and offloading facility and an offshore fixed platform and subsea production systems, and lay subsea pipelines connecting the landfall point to an existing onshore terminal. The proposed project will be implemented in the northern discovery area of the New Exploration Licensing Policy-I offshore block KG-DW N-98/2 that covers an area of 7,294.6 square km.