ONGC to Establish Strategic Natural Gas Reserve in Western India
India's Oil and Natural Gas Corporation (ONGC) is planning to establish a strategic natural gas reserve near its gas-producing assets in western India. This move aims to strengthen the country's energy security and protect against global supply disruptions caused by geopolitical conflicts.
The proposed project follows the government's earlier proposal to develop underground natural gas storage in salt caverns, which did not progress due to high capital investment requirements and significant technical challenges.
Instead of salt caverns, ONGC is evaluating alternative storage solutions that are more cost-effective and technically viable. The company plans to begin with a pilot project to assess the feasibility of storing natural gas in depleted gas reservoirs.
Depleted gas fields offer several advantages, including existing infrastructure and reduced capital expenditure. Industry experts generally consider depleted gas fields to be the preferred option because they require less investment and present lower geological risks.