What does the commencement of gas production from ONGC’s Daman Upside Development Project mean for India’s energy landscape? It signifies a crucial step towards reducing the country’s dependence on natural gas imports.

On March 30, 2026, ONGC began gas production from the Daman project, located approximately 180 kilometers northwest of Mumbai. Gas is currently flowing from Platform B-12-24P and has been successfully sent to the Hazira Plant.

At its peak capacity, the Daman project is expected to produce 21.5 billion cubic metres (BCM) of natural gas over its lifecycle. This production could offset around 73.66% of the 29.185 billion cubic metres of natural gas that India imported during the first ten months of FY26.

Furthermore, the Daman project’s peak output could account for approximately 61.38% of India’s annual gas imports for FY26, marking a significant shift in the country’s energy strategy. ONGC has invested around $1 billion in the development of this project, underscoring its importance to India’s energy security.

According to ONGC, “This [B-12-24P] platform has been successfully commissioned and gas sent to Hazira Plant.” The company plans to ramp up production from all wells in a phased manner, indicating a structured approach to maximizing output.

The Daman Upside Development Project aims to mitigate the impact of global energy market disruptions on India’s energy supply. As the project progresses, it is expected to play a vital role in stabilizing the domestic gas market.

Details remain unconfirmed regarding the timeline for reaching full production capacity and any potential challenges that may arise during the ramp-up phase.

As ONGC continues its efforts in the Arabian Sea, the implications for India’s energy independence and economic stability will be closely monitored by stakeholders in the energy sector.

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