ONGC chances upon more gas in Rajasthan

NEW DELHI: Oil and Natural Gas Corporation (ONGC) has made a fresh discovery of natural gas in Jaisalmer in Rajasthan. The new find is located in Chiniwala Tiba where the company has made two discoveries earlier.

“More gas has been found in the block,” DK Pande, ONGC director (exploration), said on Thursday.

“We have tested one zone and the second zone is under testing... within two to three weeks, we will know the indications (on the potential flow of gas),” Pande told reporters on the sidelines of a gas conference here.

Pande did not say whether it was a commercial discovery and did not give any figures for the expected reserves. He said the discoveries would be clubbed and the potential of reserves would be known only then.

The block was given to ONGC on nomination basis before opening up of the oil exploration business. ONGC had in 2005 announced a rich gas find in Chiniwala Tiba.

ONGC is also considering tying up with Oil India Ltd for the gas produce in the area, Pande said.

ONGC had last month submitted to the directorate general of hydrocarbons an appraisal and conceptual development plan for its Krishna Godavari basin block KG-DWN-98/2.

“We have submitted G&G (geological and geophysical) appraisal and conceptual development plan,” a senior executive said, adding, appraisal wells would be dug once the plan is approved.

ONGC chairman and managing director RS Sharma said the company is currently selling oil at a gross price of around $80 a barrel to state-run refiners. In October, it sold crude at $78 per barrel, he said.