ONGC gets approval for oil exploration project in Gujrat which includes 22 exploratory wells

India: The state owned Oil Company, ONGC received an approval for drilling 22 exploratory wells under the NELP-9 blocks located at Banaskantha, Gandhinagar and Ahmedabad districts of Gujarat. The estimated cost of the ONGC drilling project is valued at INR350 crores and each well is to be drilled up to a depth of 3,000 metres.

TechSci Research depicts that the growth in the exploration and production activities pertaining to oil & gas sector would drive the market for oilfield services in India. Oilfield services include cementing, direction drilling, hydro fracturing services, drilling services, etc. which is expected to expand from the increase in oil field operations. The execution of oil exploration projects will require on site services in order to support the activities associated with the projects.

According to released report of TechSci Research “India Oilfield Services Market Forecast & Opportunities, 2020”, the oilfield services market will surpass USD7.8 billion by the end of 2020, on account of increase oil and gas E & P activities. The increase in oil production would be beneficial for India owing to the fact that it would reduce the huge dependency on oil imports. The reduction in oil imports would lead to huge amount of capital savings as import of oil are costlier than production thereby, propagating the growth in the oilfield services market across the nation.