ONGC to replace aging Mumbai-Uran pipeline

The Oil and Natural Gas Corporation (ONGC), after 25 years of bringing in oil and gas to Mumbai shores, has decided to replace the ageing offshore Mumbai-Uran truck pipelines at an estimated Rs 3,000 crore.

ONGC expects to award the work next month with a completion schedule in May 2005, which includes installation, hook-up and commissioning of the pipeline.

The existing pipeline was installed in 1978 by Brown & Root International Ltd. An ONGC spokesperson said: "These lines have to be replaced within their designed life of 25 years and accordingly are due for replacement."

The ageing pipeline had started giving signals to ONGC for sometime now, the latest being in the form of a leakage on August 10 this year.

The corporation averted a major disaster when it shutdown operations at the pipeline following a leakage. The leaking pipeline linked Mumbai High North oilfield to Uran.

The shutdown resulted in ONGC's production being hit temporarily although the corporation diverted crude oil through ICP-Heera pipeline route.

ONGC is investing in replacing these pipeline as it brings in about 90 per cent of its total oil and gas production from the Bombay High fields and contributes almost 70 per cent to ONGC's revenues.

The tender floated by ONGC includes a 30-inch diameter oil and 28 inch gas pipeline systems along with about 100 km of feeder lines of different sizes connecting the various Bombay High offshore installations with Uran shore terminal.