DGH approves commerciality of discoveries in ONGC's D5 block.

Upstream oil regulator DGH has approved commerciality of the oil and gas discoveries in the northern area of state-owned ONGC's prolific KG-D5 block in Bay of Bengal.

Oil and Natural Gas Corp (ONGC) has so far made 11 oil and gas discoveries in the Krishna Godavari basin block KG-DWN-98/2 or KG-D5 which sits next to Reliance Industries' KG-D6 area. The discoveries in KG-D5 are divided into northern and southern areas, with the former having a total of 10 finds and the later the ultra-deep UD-1 discovery.

Sources said ONGC had divided these and a couple of finds in a neighbouring block, into three clusters. The gas discoveries D and E in the northern part of KG-D5 will be brought to production together with G-4 find in a neighbouring KG block at an investment of $1.92 billion.


ET