ONGC's KG basin crude output dips to 28K bpd; peak gas expected by mid-2026

ONGC now expects peak gas production of 10 mmscmd from KG-98/2 by mid-2026, even as crude output declines to 28,000 bpd, prompting well interventions and BP-led technical support

State-owned exploration giant ONGC has witnessed a further decline in crude oil production from its deep-water block in the Krishna Godavari (KG) basin to 28,000 barrels per day (bpd), against the company’s peak output estimates of 45,000 bpd.

 

Crude oil output from ONGC’s KG-98/2 block has been sliding since production commenced in January 2024. The firm’s crude output from the block was around 35,000 bpd in 2024, declining to 30,000 bpd by the end of the June quarter of the current fiscal (Q1FY26).

 

“Oil production has gone down. We need to take action as far as the wells are concerned.