State-owned Oil and Natural Gas Corporation (ONGC) has cancelled the bids received for its Daman upside gas development project off the western coast due to high price quotes, sources said.
The project is crucial to ONGC’s strategy of ramping up gas production from its shallow-water fields off India’s west coast. Once completed, the project would lead to nearly doubling of current gas production of 4-5 million standard cubic metres per day.
Sources aware of the matter said the bids ONGC received for the project were way higher than the company’s internal estimates and so the tender has been cancelled. The tender would now be divided into separate packages and rebid.
