ONGC KG Basin Project: Rs 4,606 Crore Eastern Offshore Development Moves Closer To Execution
The ONGC KG Basin Project has crossed a major regulatory milestone after the Expert Appraisal Committee recommended environmental and CRZ clearance for the Chandrika-GS49 integrated offshore development. The ONGC KG Basin Project, valued at Rs 4,606.35 crore, represents one of the company's largest recent investments in India's eastern offshore region. This Indian Petroplus analysis highlights the project's importance for domestic gas production and future offshore development.
The integrated development covers the Chandrika and GS49 blocks in the Krishna-Godavari Basin and includes ten development wells, two unmanned offshore platforms, subsea pipelines and an onshore gas processing facility at Odalarevu in Andhra Pradesh. The recommendation moves the project from the approval stage toward execution.
The development reflects ONGC's strategy of monetising discovered offshore resources through lean operating models supported by unmanned infrastructure and integrated processing facilities. Besides boosting domestic gas availability, the project also strengthens the role of the KG Basin in India's long-term energy security.
The project remains subject to environmental commitments including methane monitoring, wastewater treatment, spill management, mangrove plantation and hazardous waste controls. Local infrastructure and community concerns raised during public hearings will also remain part of project implementation.
According to Indian Petroplus analysis, the ONGC KG Basin Project signals continued public sector investment in offshore exploration and production while reinforcing eastern offshore assets as a key contributor to India's natural gas ambitions.
