Shell, Reliance, and ONGC Complete India's First Offshore Decommissioning Project
In a groundbreaking development for India's energy sector, a joint venture comprising Shell, Reliance Industries Limited (RIL), and Oil and Natural Gas Corporation (ONGC) has successfully completed the country's first-ever offshore facilities decommissioning project. The consortium announced on Monday that they have safely removed installations from the mid and south Tapti gas fields located in the Arabian Sea.
Landmark Achievement in Energy Infrastructure Management
This milestone project involved the complete removal of five wellhead platforms, associated infield pipelines, and the safe plugging and abandonment of 38 wells in the Tapti field, which lies approximately 160 kilometers northwest of Mumbai. All operations were executed in strict compliance with the approved decommissioning plan, demonstrating exceptional planning, coordination, and adherence to regulatory frameworks.
The Tapti field ceased production in 2016 after entering a decline phase post-2008. Following the production cessation, certain facilities known as Tapti Part A were transferred to ONGC, while the remaining infrastructure, designated as Tapti Part B, was slated for decommissioning by the joint venture partners.
Collaborative Approach and Local Industry Development
The decommissioning initiative has been particularly noteworthy for its contribution to developing India's domestic capabilities in energy infrastructure management. The PMT joint venture awarded major contracts to prominent Indian companies:
- Larsen & Toubro (L&T) handled the offshore execution
- Chowgule Shipyard (CLSPL) was responsible for onshore dismantling at their facilities in Ratnagiri
"From the outset, the JV partners worked tirelessly to strengthen local supply chains and enhance the technical and safety capabilities of Indian contractors, especially for offshore dismantling activities. This project has successfully delivered on the Indian government's ambition of 'Make and Break in India'," said Sanjay Barman Roy, President, E&P, RIL.
Setting New Benchmarks
The Tapti decommissioning project has played a pioneering role in shaping India's regulatory and operational framework for offshore decommissioning. Developed in collaboration with key stakeholders – including the Union Ministry of Petroleum and Natural Gas (MoPNG), Directorate General of Hydrocarbons (DGH), and Oil Industry Safety Directorate (OISD) – the project establishes a benchmark for future offshore energy transitions in India.
Nipun Pradhan, Managing Director of BGEPIL and GM Shell Upstream India, commented: "The safe and successful completion of the Tapti offshore project is a landmark moment for India's offshore energy sector. This project sets a new benchmark for responsible decommissioning, made possible by global expertise, strong collaboration, and an unwavering commitment to safety and sustainability."
Complex Project with Strategic Significance
The Tapti fields, measuring 1,471 square kilometers, are located 35 kilometers from the Saurashtra Coast, 75 kilometers from Hazira, and 160 kilometers northwest of Mumbai. The fields lie in approximately 21 meters of water depth, presenting unique operational challenges.
Pankaj Kumar, Director (Production) at ONGC, highlighted the strategic importance of the project: "This first-of-its-kind large-scale offshore decommissioning underscores ONGC's commitment to responsible energy practices. The project's complexity, especially its proximity to ONGC's live assets, demanded strategic planning, precise execution, and utmost focus on safety."
Historical Context
The Panna-Mukta field (primarily an oilfield) and the mid and south Tapti field (a gas field) were initially discovered and operated by ONGC. In February 1994, these offshore shallow water fields in the Mumbai basin were awarded to a consortium of Enron Oil & Gas India Ltd and RIL for development under a production-sharing arrangement.
ONGC, Enron, and RIL formed the PMT joint venture with participating interests of 40%, 30%, and 30%, respectively. Following corporate changes, Enron's stake was acquired by British Gas Exploration and Production India Ltd (BGEPIL) in 2002. Later in 2016, when Royal Dutch Shell acquired BG Group globally, BGEPIL became part of Shell India.
Global Significance
Offshore decommissioning is recognized globally as a complex endeavor involving evolving regulations, developing contractor ecosystems, and fluctuating market dynamics. The successful completion of the Tapti decommissioning project demonstrates what can be achieved through multi-stakeholder collaboration and serves as a model for environmental responsibility, safety, and efficiency in India's growing energy transition journey.
This achievement represents a significant step forward in India's capability to manage the full lifecycle of offshore energy infrastructure, from development and production through to responsible decommissioning. As more offshore fields reach the end of their productive lives in the coming decades, the experience gained from this pioneering project will prove invaluable.
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