Oil and Natural Gas Corporation Limited (ONGC) will invest over ₹4,600 crore in a major oil and gas project in Konaseema district, Andhra Pradesh. The plan includes drilling 10 development wells, setting up two unmanned platforms, laying an offshore pipeline, and establishing an onshore gas processing facility.
According to the minutes of a meeting held on July 24, the Ministry of Environment and Forests’ Expert Appraisal Committee (EAC) noted that ONGC has sought fresh environmental clearance for the project. The Director General of Hydrocarbons had issued Letters of Award (LOA) in September 2022 for offshore oil and gas contract areas KG/OSDSF/CHANDRIKA/2021 (697 sq km) and KG/OSDSF/GS49/2021 (148 sq km) along the East Coast under the Discovered Small Field-III (DSF-III) bidding round.
The proposed installation will require 26.3 hectares of land at Odalarevu Terminal, with 8.7 hectares (33% of the area) developed as a greenbelt. The total estimated project cost is ₹4,606.35 crore. The EAC also stated that ₹14 crore has been earmarked for the Environmental Management Plan (EMP), with an annual recurring cost of ₹3 crore. Additionally, ONGC plans to allocate ₹14 crore under its Extended EMP as part of Corporate Environment Responsibility.
