State-owned energy major Oil and Natural Gas Corporation (ONGC) has discovered a significant natural gas reserve in the deep waters off the coast of Odisha. The strike was made under the company's dedicated deepwater exploration campaign titled 'Samudra Manthan' in the offshore well designated as 'MN-DW18-1-H-D'. Located approximately 43 kilometers off Konark in the Mahanadi offshore basin, the discovery occurred on September 18 and offers strong prospects for rapid development if certified commercially viable.
First Well In Exploration Campaign Delivers Positive Flow
This offshore asset represents the very first exploration well drilled under the ongoing Mahanadi basin exploration drive. Drilling operations reached a targeted depth of 1623 meters, encountering the natural gas bearing zone between the depths of 1441 and 1452 meters. Sustained gas flow has been observed from the well for the past three days, with reservoir pressure and discharge rates remaining highly encouraging. Technical teams are currently conducting further assessments and appraisal work to determine the commercial scale and longevity of the deposit.
Accelerated Monetisation Under Petroleum And Natural Gas Rules 2025
The relatively short distance from the Odisha shoreline offers a distinct logistical advantage, opening the pathway for accelerated monetisation once commercial viability is established. Project development is expected to receive regulatory support under the framework of the Petroleum and Natural Gas Rules, 2025. These guidelines facilitate bringing deepwater hydrocarbon assets into production by leveraging shared offshore infrastructure, thus cutting lead times and capital expenditure, as detailed in the company's update shared on X.
Drilling Initiated In July Yields Rapid Results
Minister of Petroleum and Natural Gas Hardeep Singh Puri had flagged off the drilling of this deepwater well on July 25, 2026. Striking natural gas within two months provides a major boost to ONGC's deepwater exploration program and aligns with national initiatives to augment the domestic hydrocarbon resource base. Alongside previous finds in the region, the latest discovery presents an integrated opportunity to combine offshore processing facilities and kickstart commercial deepwater gas output.
