ONGC likely to invest Rs 1,000 cr in Himachal

Oil and Natural Gas Corporation (ONGC) is planning to invest over Rs 1,000 crore for the exploration of oil and gas in the Himalayan foothills, supposed to contain one of the biggest reserves in the Asia-Pacific region.

Two US and Norway consultants will provide the technical assistance for the oil major's exploration in Paonta Saheb in Himachal Pradesh.

"The Himalayan oil field is intensely folded and faulted. There are five faces of folding, similar to the rich oil fields of northern Iraq and Iran. The Himalayan foothills resemble the oil belt of the Zagron mountain range, thus ONGC is hopeful of striking it big," a technical expert said.

ONGC had started feasibility study in this region in the 1960s but could not start drilling owing to lack of technical expertise. Eight years ago, it dropped the idea. With the acquisition of gravity and magnetic data, the exploration drive has been revived in Paonta Saheb.

The consulting firms are now detailing the requirements of the project. The physical scouting of the areas is on to assess the logistics, environment and other factors that are required prior to any geophysical survey.

"Several efforts have, for long, been made to make a breakthrough in what is seen as the mysterious sedimentary basin in the Himalayan foothills. The GM data is now being used for primary appraisal of new acreages, and it also gives a logical estimate of the thickness of the sedimentary basin. This helps in identifying the target areas for intensive exploration and placing seismic survey in a cost-effective manner," an industry source said.