Greater Noida: The government plan to offer PSUs special incentives for natural gas discoveries in difficult and unviable areas will help raise India's natural gas production as it will unlock output in a dozen fields of state-owned ONGC and OIL, officials said Sunday.
Prices using this formula are calculated semi-annually. While the government has allowed a higher rate of USD 7.67 per mmBtu for gas fields in difficult areas like the deep sea, ONGC's Krishna Godavari basin block KG-OSN-2004/1, which has about 15 bcm of recoverable reserves, is in shallow waters and does not qualify as a 'difficult field'.