Tapti Asset Transfer Agreement signed between PMT JV and ONGC

The Mid & South Tapti field in Western Offshore of India was awarded by Government  of India in December, 1994 under the Production Sharing Contract (PSC) regime,  with current participation of ONGC (40%),  British Gas (30%) and Reliance Industries (30%).

The PMT  JV informed to the Government declaring their intention of abandoning the Tapti  Field and associated facilities upon cessation of production. ONGC conveyed its  interest of utilizing the part of Tapti Facilities (comprising of the  processing platforms along with the connected export pipelines) for use in its  adjacent Daman Development and C-26 Cluster Development Projects. Accordingly, the  Government decided to handover the identified facilities to ONGC as Government  Nominee in line with the PSC provisions.

The JV  members have accordingly signed the Tapti Asset Transfer Agreement on 12th April 2016 with ONGC.

ONGC has  committed an investment of over Rs. 8,600 Crore towards Daman Development Project  and C-26 cluster Development Project to enhance production of Natural Gas and  Condensate from its Daman Block in Arabian Sea. The production from these two  projects is expected to start in second quarter of the current financial year,  2016-17, with estimated peak production rate of about 11 MMSCMD of gas and over  11,000 barrels of condensate per day.

The construction of 10 Well  Head Platforms, one riser platform, subsea pipelines and other associated  facilities are in progress for Daman and C-26 Development Projects. Drilling  rigs have been earmarked for drilling of 36 wells. Now, with the availability  of the Tapti Process platform, necessary modification and construction works  will be carried out expeditiously and gas production can be started from these  projects as per schedule.

Such type of asset transfer  agreement is the first of its kind in E&P sector in India. This also  demonstrates that facilities no longer required by an E&P Operator, can be  optimally used by another Operator to expedite the field development activities  and also to reduce CAPEX burden. The signing of this landmark agreement has  been possible due to unstinted support from the Ministry of Petroleum &  Natural Gas, Directorate General of Hydrocarbons and cooperation between the  PMT JV members.

 

Issued By:

Oil and Natural Gas Corporation Ltd.
Corporate Communications, New Delhi,
Phone: +91-11-23320032
Tele-Fax: 011-23357860
Mail: ongcdelhicc@ongc.co.in