Oil and Natural Gas Corporation (ONGC) envisage to pump Rs 500 billion in developing new oil and gas fields as well as increasing output from existing ones.

The sources informed that out of the proposed amount, Rs 160 billion will be invested by the company to amend output from seven fields.

ONGC had already pumped Rs 140 billion in 14 improved oil recovery (IOR)/enhanced oil recovery (EOR) schemes (during 2000 to 2009) in order to lift up recovery factor to 33% from 28% earlier.

The sources further informed that the investments would assist the company offset the dip in output that has set in mature fields like Mumbai High.

According to an official release, ONGC is also making an investment of more than Rs 150 billion in the second stage of redevelopment of its prime Mumbai High fields in the western offshore. It is pumping Rs 80.61 billion in Mumbai High South by April 2011 for an incremental 20.7 million tons of oil and 3.32 billion cubic meters of gas by 2029-30.

Besides, ONGC is also spending Rs 68.56 billion in Mumbai High North by September 2012 for an additional 17.35 million tons of oil and 2.98 bcm of gas by 2029-30.