DGH recommends penalties on ONGC, Reliance
Directorate General of Hydrocarbons (DGH) has recommended a total penalty of 107.391 million dollars on ONGC and 26.535 million dollars on RIL for failing to fulfill the work programmme.
By PTI |
NEW DELHI: Oil regulator DGH has recommended stiff penalties on state-owned Oil and Natural Gas Corp (ONGC) and Reliance Industries Ltd for default on commitments made by them on oil and gas exploration blocks awarded under NELP.
Directorate General of Hydrocarbons (DGH) has recommended a total penalty of 107.391 million dollars on ONGC and 26.535 million dollars on RIL for failing to fulfill the work programmme committed on the blocks awarded to them under New Exploration Licensing Policy (NELP), DGH sources said.
The penalty amount was recommended to the Petroleum Ministry for approval.
The DGH levied a penalty of 7.275 million dollars on RIL for failing to do a 3D seismic survey and drill two exploratory well on block KG-OSN-97/3 and 2.645 million dollars for unfinished 2D and 3D seismic survey and one undrilled exploratory well on block KG-OSN-97/4.
It also recommended 2.903 million dollar cost recovery from RIL for failure to drill one exploratory well committed for block GK-OSN-97/1 and two wells on block MB-OSN-97/3.
Sources said ONGC was fined for not meeting the minimum work commitment in six blocks.
The regulator recommended recovery of 6.351 million dollars for failure to drill two exploratory wells on block MB-OSN-2000/1, 19.615 million dollars for three undrilled wells on block MB-DWN-2000/1 and 22.807 million dollars for not drilling two wells on MB-DWN-2000/2.
ONGC was also levied 6.450 million dollars for failing to drill one committed exploratory well on block GS-DWN-2000/1, 28.293 million dollars for two undrilled wells on block GS-DWN-2000/2 and 23.872 million dollars for one unfinished well on block KK-DWN-2000/4, they said.
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