Hyderabad, August 1 : To expedite development of its Oil and Gas finds off the coast of Andhra Pradesh, oil major Oil and Natural Gas Corporation Limited (ONGC) has drawn up a plan to set up an ''Integrated Offshore Supply Base-cum-Processing unit'' near Kona coast in its east Godavari District.

The Integrated Offshore Supply Base is expected to boost ONGC''s Exploration and Production (E&P) efforts on the east coast, which is increasing rapidly.

ONGC has struck oil and gas in its offshore exploration programme in Krishna-Godavari basin and it has an aggressive drilling plan, which is firm at least for the next five years.

Recently, ONGC top management team led by Director (Offshore) met the Principal Secretary, Ministry of Commerce and Industry and CMD of Andhra Pradesh Industrial Investment Corporation for allotment of 500 acres of land, for the Supply Base-cum-Processing unit at Kona.

Senior State government officials have assured full support in priority allotment of the required land.

The company plans are also in hand for an Onshore Terminal at Odalarevu or Boppavaram, to receive and process Natural Gas from the deepwater finds at Vashista and S-1 fields, expected to be around six million metric standard cubic metres per day (MMSCMD) in phase II.

The gas production in phase I is expected to be around two MMSCMD from G-1, GS-15 fields and phase III development envisages development of G-4, GS-29 and NELP block KG-DWN-98/2 which shall contribute around 26-31 MMSCMD of gas.

Apart from housing bonded warehouse for stocking duty-free materials for offshore, the supply base complex will also have a pipe yard, bulk handling facilities, captive jetty to berth offshore supply vessels, heli-base, laboratories, workshop and office-cum-communication centre.

A reputed international consultant is being appointed to finalize development of this integrated supply base.

ONGC has a supply base on west coast at Nhava for coordinating produce from oil and gas fields in Arabian Sea.

The planned onshore terminal near Kona coast of East Godavari District in Andhra Pradesh (in a land area of 2500 acres), apart from processing gas from Vashista and S-1, will also cater to produce from other hydrocarbon bearing structures like GS-29, G-4, Annapurna, Kanakadurga, which would be developed in the next phase.

The investment for developing all the offshore fields and onshore terminals in the area would be around three billion dollars (over 12,000 crore rupees). (ANI)