ONGC’s mega deepwater development initiative for integrated development of KG-DWN-98/2 (Cluster-2) Project in East Coast of India took a leap forward with the award of a major work package, viz. SPS + SURF (Subsea Production System + Subsea Umbilical, Risers & Flow lines) to Consortium of BHGE, McDermott and L&T hydrocarbon on 01.10.2018 with awarded cost of Rs. 11,740.86 Crores (USD 1694.45 Million). This tender is one of the biggest integrated (SPS + SURF) tenders awarded globally in recent years.

ONGC took a strategic decision of integrating hitherto separate work packages of SPS and SURF into a single integrated (SPS + SURF) work package tender. This will help to eliminate major interface issues among SPS and SURF packages, resulting in time and cost optimization to the company. This innovative approach by ONGC has been widely appreciated by global major contractors of SPS and SURF.

Cluster-2 development will have water depths ranging from 350m to 1,400m and is one of the most capital intensive and technologically challenging projects in East Coast of India. Total peak gas production rate from Cluster-2 is envisaged to be about 16 MMSCMD and peak oil production rate of 80,000 BPD.

ONGC envisages commencement of first gas production by December 2019, first oil by March 2021 and over all project completion by August 2021. This project will also have key contribution in fulfilling Hon’ble Prime Minister’s clarion call to achieve 10% reduction in import dependency on energy by 2022.

About ONGC

ONGC is a major integrated National Oil and Gas Company of India and is India’s largest producer of crude oil and natural gas , contributing around 70 per cent of Indian domestic production. During the financial year ended 31st March, 2017, ONGC Group had produced 61.60 MMT of oil and oil equivalent gas (MMTOE) (approx. 1.23 MMboe per day); the Consolidated Gross Turnover was INR 1,421 billion (US$ 21 billion) during FY’17 and total consolidated oil and gas reserves were 1,818 MMTOE as on 31st March 2017.

About BHGE

Baker Hughes, a GE company (NYSE:BHGE) is the world’s first and only fullstream provider of integrated oilfield products, services and digital solutions. We deploy minds and machines to enhance customer productivity, safety and environmental stewardship, while minimizing costs and risks at every step of the energy value chain. With operations in over 120 countries, we infuse over a century of experience with the spirit of a startup – inventing smarter ways to bring energy to the world.

About McDermott

McDermott (NYSE: MDR) is a premier, fully integrated provider of technology, engineering and construction solutions to the energy industry. For more than a century, customers have trusted McDermott to design and build end-to-end infrastructure and technology solutions—from the wellhead to the storage tank—to transport and transform oil and gas into the products the world needs today. Our proprietary technologies, integrated expertise and comprehensive solutions deliver certainty, innovation and added value to energy projects around the world.
Customers rely on McDermott to deliver certainty to the most complex projects, from concept to commissioning. It is called the "One McDermott Way."
Operating in over 54 countries, McDermott's locally focused and globally-integrated resources include approximately 40,000 employees and engineers, a diversified fleet of specialty marine construction vessels and fabrication facilities around the world. As used in this press release, McDermott includes McDermott International, Inc. and its subsidiaries and affiliates.

About Larsen & Toubro

Larsen & Toubro (NSE: LT) is an Indian multinational engaged in technology, engineering, construction, manufacturing and financial services with over USD 18 billion in revenue. It operates in over 30 countries worldwide. A strong, customer–focused approach and the constant quest for top-class quality have enabled L&T to attain and sustain leadership in its major lines of business for eight decades.