ONGC Videsh Limited (OVL), a subsidiary of Indian national oil firm ONGC, has said it has entered a development stage for a deepwater gas project in Brazil.
The company had registered a major gas discovery in 2019 in its deep offshore block BM-SEAL-4, Brazil, located in the Sergipe Alagoas Basin. Petrobras is the operator of the block with 75% Participating Interest (PI) and in which partner ONGC Videsh holds 25% PI.
"ONGC Videsh Limited, after detailed evaluation, now enters into the development stage with the submission of Declaration of Commerciality (DoC) for the block BM-SEAL-4," the company said earlier this week.
The project envisages the installation of a shared FPSO and a gas pipeline. The name suggested to the Brazilian regulator for the field is Budião.
"The development module is presently in the contract planning phase and is expected to start production after 2026. The Consortium plans to continue all operational activities for submission of the Development Plan to the Regulator and meeting the target for the first oil," ONGC Videsh said.