Shell, Reliance and ONGC Complete India’s First Offshore Decommissioning Project
Shell, Reliance and ONGC Complete India’s First Offshore Decommissioning Project

Shell, Reliance and ONGC Complete India’s First Offshore Decommissioning Project

  • 06-May-2025 7:15 PM
  • Journalist: William Faulkner

In a major milestone for India’s energy sector, joint venture partners Shell (via BG Exploration and Production India Ltd.), Reliance Industries Ltd. and Oil and Natural Gas Corp. have completed the country’s first offshore facilities decommissioning project. The initiative involved the safe removal of infrastructure from the Tapti gas field in the Arabian Sea.

The Panna-Mukta and Tapti (PMT) joint venture, operating under a production-sharing contract with the Indian government, consists of ONGC with a 40% stake, and Shell and Reliance with 30% each. Production from the Tapti fields ended in March 2016, prompting the need for a responsible decommissioning effort.

The project involved dismantling five wellhead platforms, decommissioning infield pipelines, and plugging and abandoning 38 wells. All operations followed an approved decommissioning plan and adhered to the highest safety and environmental standards.

Aligned with the Indian government’s “Make in India” initiative, key contracts were awarded to domestic firms. Larsen & Toubro handled the offshore work, while Chowgule Shipyard Ltd. was tasked with onshore dismantling at its facility in Ratnagiri. Offshore operations have concluded safely, and dismantling continues onshore.

This pioneering project has helped establish India’s regulatory and operational framework for offshore decommissioning. The framework was developed collaboratively with stakeholders such as the Ministry of Petroleum and Natural Gas, Directorate General of Hydrocarbons, and the Oil Industry Safety Directorate.

Nipun Pradhan, managing director of BGEPIL and general manager of Shell Upstream India, called the completion a “landmark moment” and emphasized the role of collaboration and commitment to safety. “Shell is proud to be part of this historic journey alongside our partners Reliance, ONGC and the Government of India,” he said.

Sanjay Barman Roy, president of exploration and production at Reliance, said the project highlights the company’s support for India’s domestic capabilities. “From the outset, the JV partners worked to strengthen local supply chains and build technical expertise. This is a true example of ‘Make and Break in India,’” he said.

Pankaj Kumar, director of production at ONGC, added that the project required extensive planning due to its proximity to ONGC’s live assets. “It marks a defining moment in India’s energy landscape and sets the foundation for future offshore transformations,” he said.

Offshore decommissioning remains a complex global challenge due to changing regulations and evolving market dynamics. The success of the Tapti project showcases the potential of multi-stakeholder collaboration in delivering safe, efficient and environmentally responsible outcomes.

Tags:

Natural Gas

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