Deep-water challenge: ONGC’s $5 billion Indian development delayed as key projects lag

A flagship $5 billion-plus deep-water development project that India's state-owned Oil & Natural Gas Corporation’s (ONGC) is planning in the Krishna Godavari basin is facing fresh delays due to key projects running behind their planned execution. Several people familiar with the deep-water project told Upstream that ONGC’S KG-DWN-98/2 oil and gas development off the east coast that involves the Cluster-2 region is to be delayed by “several months". Four key projects that form part of the giant KG basin development are behind the delays, covering supply of central processing platform (CPP) with living quarters, a contract covering integrated subsea production system (SPS) and subsea umbilical riser and flowlines (SURF), a leased floating production, storage and offloading (FPSO) vessel and onshore processing facilities. Project watchers said that all four elements of the KG-DWN-98/2 developments are facing delays in the wake of coronavirus restrictions, engineering changes and project execution challenges.