ONGC’s KG Project Witnesses Historic Moment as PM Modi Flags Off First Crude Oil Tanker.

ONGC's KG Project

Under 100 Words: A Compact Summary

Modi inaugurated the Swarna Sindhu tanker, symbolizing the start of oil production in ONGC’s Krishna Godavari block. This project aims to add 7% to India’s oil and gas production. He also dedicated major oil and gas developments, including the largest-ever FPSO, emphasizing strides toward energy self-sufficiency (ONGC’s KG Project).

  • On Saturday, Prime Minister Narendra Modi inaugurated the departure of the inaugural tanker, Swarna Sindhu, transporting crude oil extracted from the Krishna Godavari deepwater block owned by the state-run ONGC.
  • The national oil and gas company stated that at its maximum output, this project is expected to contribute an additional 7% to India’s overall oil and gas production (ONGC’s KG Project).
  • The KG-DWN 98/2 Deepwater Oil Field M in the Krishna Godavari Basin, developed with an investment exceeding Rs 41,000 crore, is recognized as one of the most technologically intricate ventures in India’s oil and gas sector to date.
  • The anticipated peak production from the KG-DWN-98/2 Cluster-II project includes approximately 10 Million Metric Standard Cubic Meters per Day (MMSCMD) of natural gas and 45,000 barrels of oil per day.
  • Over its operational lifespan, the project is expected to contribute a cumulative total of 30.5 Billion Cubic Meters of Gas and 14.24 Million Metric Tonnes of oil to India’s domestic oil and gas production (ONGC’s KG Project).
  • ONGC has emphasized that the KG-DWN-98/2 Cluster-II project plays a crucial role in reducing India’s reliance on imported crude and liquid natural Gas.
  • As part of the Aatmanirbhar Bharat initiative, ONGC highlighted that all subsea structures for the project were manufactured by Indian companies at Kattupalli in Tamil Nadu (ONGC’s KG Project).
  • The Floating Production Storage and Offloading (FPSO) unit, Armada Sterling V, marked a significant milestone on Saturday as it commenced the production of oil.

ONGC's KG Project

  • This unit is constructed and operated by Shapoorji Pallonji Energy Private Limited (SP Energy). Positioned offshore the Godavari River delta in the Bay of Bengal, approximately 22 kilometers from the Andhra Pradesh coast, the FPSO operates in waters exceeding 430 meters in depth (ONGC’s KG Project). It successfully achieved ‘First Oil’ on January 7.
  • Distinguished as the largest floating installation ever deployed in the Indian subcontinent, the FPSO boasts a processing capacity exceeding 50,000 barrels of oil per day and 3 million Metric Standard Cubic Meters per Day (MMSCMD) of gas.
  • Additionally, it possesses a substantial storage capacity of 700,000 barrels. Shapoorji Pallonji Energy mentioned in a statement that its owned or operated assets presently contribute to more than 20% of India’s total crude production.
  • Modi also officially inaugurated the Mumbai High North Oil Field Redevelopment Phase IV, Heera Redevelopment Phase-III, and the Phase-II development in the Krishna Godavari Nagayalanka Block, dedicating these projects to the nation.

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