State-run Oil and Natural Gas Corporation (ONGC) has initiated gas monetisation from its Daman Upside Development Project (DUDP) in the Arabian Sea, marking a significant milestone in India’s efforts to strengthen domestic energy production.
The development was achieved on March 29, 2026, with the commissioning of the B-12-24P platform, from which gas has begun flowing to ONGC’s Hazira processing facility. The offshore project is located approximately 180 kilometres northwest of Mumbai and around 80 kilometres south of Pipavav in Gujarat.
The DUDP, with an estimated capital expenditure of $1 billion, has been executed in under two years from the date of award. ONGC attributed the timely completion to efficient project execution, including the use of advanced drill-deck deployment techniques and coordinated efforts by drilling and production teams.
The project is designed to produce around 21.5 billion cubic metres of natural gas over its lifecycle, with peak output expected to reach approximately 5 million standard cubic metres per day. Gas production will be scaled up progressively as additional wells under the project are brought online.
The Daman Upside Development Project comprises multiple offshore installations, including four wellhead platforms and a subsea pipeline network spanning roughly 140 kilometres, connecting production sites to onshore processing infrastructure at Hazira.
The commencement of gas monetisation is seen as a strategic step in enhancing India’s domestic energy supply at a time of global market volatility and geopolitical uncertainties. India currently relies on imports for a substantial portion of its natural gas requirements, making such upstream developments critical to improving energy security.
With a phased ramp-up planned, the project is expected to contribute incrementally to domestic gas availability, supporting sectors such as power generation, fertilisers, and city gas distribution.
