ONGC spurts on notifying three new oil and gas discoveries

Oil & Natural Gas Corporation (ONGC) is currently trading at Rs. 341.40, up by 4.45 points or 1.32% from its previous closing of Rs. 336.95 on the BSE.

The scrip opened at Rs. 335.00 and has touched a high and low of Rs. 341.95 and Rs. 335.00 respectively. So far 95129 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 5 has touched a 52 week high of Rs. 472.00 on 09-Jun-2014 and a 52 week low of Rs. 264.00 on 04-Feb-2014.

Last one week high and low of the scrip stood at Rs. 372.00 and Rs. 335.75 respectively. The current market cap of the company is Rs. 288277.24 crore.

The promoters holding in the company stood at 68.94%, while Institutions and Non-Institutions held 17.55% and 13.51% respectively.

Oil and Natural Gas Corporation (ONGC) has notified three discoveries made recently - one in deepwater Krishna Godavari Basin, off the east coast of the country, one in Mumbai offshore Basin, off the west coast of the country and one in Cauvery basin in the southern onland part of the country. The board of directors at their meeting held on December 12, 2014 had taken the note of it.

In KG Basin offshore, ONGC has made a significant gas discovery from its nomination deep water block, KG-OS-DW-III. The discovery well GD-11-1, located about 43 Km to the South of the nearest coastal town Odalarevu in the state of Andhra Pradesh, was drilled down to a depth of 2810m in water depth of 812m to explore the hydrocarbon potential of Pliocene sands. The Pliocene sequence has indicated the presence of about 36m of gas pay which, on conventional testing, has flowed gas at the rate of around 6.5 Lakh cubic meters per day through half inch bean.

In Mumbai offshore ONGC has made a new pool discovery in the well # WO-5-11 (WO-5-G) in BOFF PML block. The well, situated around 160kms west from the nearest coastline in the state of Maharashtra, was drilled down to a depth of 2265m in water depth of 83m with the objective to explore hydrocarbon potential of Mukta and Bassein Formations. On testing, the well flowed oil at the rate of around 1500 barrels per day and gas at the rate of around 10000 cubic meters per day through half inch bean. Significantly, oil flow from Panna Formation has been reported for the first time in this structure.

In Cauvery Basin, in the southern state of Tamil Nadu, ONGC has made a significant gas discovery in the well MD-5; the second hydrocarbon discovery made by ONGC in the NELP-IV block CY-ONN-2002/2. The first discovery in this block was in October 2012, when oil was discovered in the well Madanam-3. The well MD-5 is located about 9 km towards east of Sirkhazi town in Nagapatinam district. The discovery is named as ‘Thirunagari Gas Discovery’ after the name of the nearby village. The well was drilled down to the target depth of 2175m. During testing of the basement section, the well flowed gas at the rate of 61800 cubic meters per day along with condensate at the rate of 9.6 cubic meters per day through 7 mm bean. This discovery is envisaged to enhance the commercial viability of this block.