ONGC invites bids for KG offshore gas
State-run Oil and Natural Gas Corporation (ONGC) has floated the tender for prospective buyers to bid for gas supplied from its KG-DWN-98/2 field located in the east coast Krishna Godavari offshore field. ONGC will supply two million standard cubic meters per day (mscmd) gas from the field to the Odalarevu onshore terminal in Andhra Pradesh, and buyers can book contracts for three to five years, starting June 30.
Bidders will have to quote prices linked to the contemporary rates of Brent crude oil, but ONGC will sell the gas at the government determined ceiling tariff for the fuel for difficult fields, which currently stands at $3.62 per million British thermal units (mBtu).
