ONGC takes control of key offshore oil and gas block

Oil and Natural Gas Corporation (ONGC) has been directed by the Ministry of Petroleum & Natural Gas, Government of India, to take control of all data, assets, operations, and responsibilities for the CB-OS/2 PSC Block. This directive follows the rejection of an application for the extension of the Production Sharing Contract (PSC), filed by contractor parties Vedanta Limited, Oil & Natural Gas Corporation Ltd, and TATA Petrodyne Ltd.

The CB-OS/2 Block, an offshore block on India's west coast, was initially awarded in 1998. Commercial discovery of oil and gas led to a Provisional Mining Lease grant in 2002. The block's Lakhsmi and Gauri fields are currently producing 3,400 barrels of oil per day and 340,000 SCMD of gas.

ONGC's assumption of control is described as an interim measure by the Government of India, aimed at maintaining continuity of petroleum operations in the public interest and safeguarding petroleum reserves until the block is awarded to another party.