ONGC Begins Carbon Storage Pilot at Gujarat's Gandhar Oilfield

Oil and Natural Gas Corporation has taken a major step in its energy transition with the launch of its first full-scale ONGC CCS pilot at Gujarat’s Gandhar oilfield. The project marks a key milestone in the company’s decarbonization strategy and positions CCS as a practical solution for India’s oil and gas sector.

The ONGC CCS pilot will use two abandoned onshore wells to inject nearly 100 tonnes of CO2 per day into depleted subsurface hydrocarbon reservoirs. The carbon dioxide will be captured from nearby industrial units in the Dahej area and ONGC’s Hazira plant, then transported to Gandhar for underground storage, preventing it from entering the atmosphere.

Beyond storage, the project will also test CO2-based enhanced oil recovery, allowing the greenhouse gas to be reused to improve oil output from mature fields. ONGC has earlier sourced CO2 from Indian Oil Corporation’s Koyali refinery, located about 80 km away, for similar injections.

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India is the world’s third-largest CO2 emitter, with annual emissions estimated at 2.6 gigatonnes. The country has committed to cutting emissions by 50 percent by 2050 and reaching net zero by 2070. In this context, Carbon Capture, Utilisation and Storage is emerging as a critical tool for hard-to-abate industries where emissions cannot be removed through electrification alone.

ONGC plans to appoint a specialized CCS consultant to manage technical design, regulatory compliance, monitoring systems, and cost assessments. Officials said depleted reservoirs like Gandhar offer ideal geology for long-term CO2 storage while leveraging existing infrastructure.

The pilot is expected to demonstrate scalability, support industrial decarbonization, improve oilfield productivity, and enable blue hydrogen production. ONGC has committed USD 12 billion to carbon capture and energy transition projects, targeting net zero emissions across Scope 1 and Scope 2 operations by 2038.