Panna-Mukta-Tapti fields output to raise by 30% by Sept '07

New Delhi, Apr 16 (UNI) Oil and Natural Gas Corporation (ONGC) in consortium with BG and Reliance Industries (RIL) will infuse Rs 2,192 crore to increase the output of Panna-Mukta-Tapti fields by 30 per cent by August-September this year.

''With the investment of Rs 2,192 crore, the production of Panna-Mukta-Tapti fields in the western offshore will reach up to 17 million metric standard cubic meter per day (mmscmd) by somewhere in between August and September this year,'' ONGC Executive Director (Offshore) Sudhir Vasudeva told reporters here.

At present, the total capacity of the Panna-Mukta-Tapti fields is 13 mmscmd.

ONGC holds 40 per cent stake in the field while BG and Reliance own 30 per cent each.

''The additional output expected would be sold by the three companies separately in proportion to their shareholdings,'' Mr Vasudeva said.

The JV sells six mmscmd from the field to GAIL at 4.75 per million dollars british thermal unit (MBTU), while another 4.8 mmscmd GSPC at 4.08 dollars per MBTU, and the remaining 1.3 mmscmd is sold at 5.7 dollars per MBTU.

''All the gas sales contracts will expire in March 2008,'' Mr Vasudevan said.

Mr Vasudevan said for ONGC's share of additional gas, the company has contracted sale with Torrent Power at 4.75 dollars per MBTU and Rajasthan Vidyut Nigam at 4.6 dollars per MBTU.

The consortium had invested 200 million dollars in increasing oil production from the fields to 42,000 barrel per day from 29,000 barrel per day.

UNI