CHAPTER-2

ENERGY:THE ULTIMATE FRONTIER FOR HUMAN

PROGRESS
( A GLOBAL OVERVIEW )
Sources of Energy
Conventional Sources : Coal, Oil, Natural Gas
Non-conventional sources : Solar, Wind, Geothermal
Sources of energy can also be classified as :
Non-renewable :Coal, oil, natural gas- Fossil Fuels
Renewable: Solar, Geothermal, Hydel power, Wind

World Energy Mix

Primary Energy Mix (2006 & 2030)

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World Energy consumption

Primary Energy Consumption (MTOE)/year

th
2500 2182 2177 India is the 4
largest consumer
2000 of energy
1500

1000 635.3
468.9
463.9
319.2 289.8 241.9 237.5
500 225.7 198.9

UK
US

China

India

Canada

Brazil
Japan
Russia

France

South Korea
Germany
India occupies 4th place in the world

World oil consumption 3,882.1 MMT (2009)

Country-wise oil consumption MMT - 2009

th
India is the 4 largest
842.9
consumer of oil
900
800
700
600
404.6
500
400
197.6
300 148.5
124.9 113.9 104.3
200
100
0
Russia

Germany

S Korea
China

India
Japan
US

An Overview Primary Energy

World Overview
37% of world energy need is supplied by crude oil, 27% by coal and 24% by
gas.
Most of the reserve is concentrated in the Middle-east region.
World Primary Energy Sector growing at 2% per annum
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India Overview
India is the 4th largest energy consumer
India has vast potential in the Exploration Sector.
54% Coal, 32% Oil, 8% Natural Gas
Indian Primary Energy Sector growing at 5% per annum

Indias Primary Energy Demand in the reference scenario (Mtoe)

1990 2005 2015 2030

Coal 106 208 330 620
Oil 63 129 188 328
Gas 10 29 48 93
Nuclear 2 5 16 33
Hydro 6 9 13 22
Biomass 133 158 171 195
Other 0 1 4 9
renewables
Total 320 537 770 1300
Source: World Energy Outlook, 2007

Indias Sectoral Energy Consumption v/s contribution to the countrys

GDP(2007)

Sector % Energy % Contribution to GDP

(Consumption)
Industry 40 27
Agriculture, AH & Fisheries 7 19
Commercial & Services 43 54
Household & others 10 -
Indias Energy Scenario
India has 16% of global population.. But has only 0.45% of Worlds
prognosticated reserves
Actual Growth in energy demand 4.5% CAGR (97-07)
Targeted GDP of 8- 10% in coming years
Integrated Energy Policy-2006, Planning Commission, puts consumption at
1514 MTOE in 2031 (@5%-6% growth/annum)
As per IEA study, Primary Energy requirement by 2030 ~ 830 MTOE (@2%
growth/annum)

Integrated Energy Policy-2006

The policy focuses on :

Rural Electrification using Hydel, wind and solar energy

Energy conservation Energy efficient green buildings

Wind energy

Bio-fuel
10

Oil security of the country

Nuclear energy

Solar energy

Development of public / mass transport system

C rude Oil P roduc tion T rend

40 35.349
33.688
33.021 32.426 32.19
35 30.618
30
25
MMT

20
10.507
15
8.448
10 6.822
3.473
5 0.448
0
1960-61

1965-66

1970-71

1975-76

1980-81

1985-86

1990-91

1995-96

2000-01

2005-06

2009-10
Natural Gas Production Trend
47.573
50
45
40
32.202 32.849
35 29.477
30
BCM

22.642
25
20
15 10.64
8.1
10
1.4 2.4 2.4
5
0
1970- 1975- 1980- 1985- 1990- 1995- 2000- 2005- 2008- 2009-
71 76 81 86 91 96 01 06 09 10

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ONGC- an Introduction

ONGC Group of Companies :

Vision
To be a global leader in integrated energy business through sustainable growth,
knowledge excellence and exemplary governance practices. Integrated in Energy
Business. Focus on domestic and international Oil & Gas exploration and production
business opportunities

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 ONGC- as an E&P company
ONGC discovered 6 out of the 7 producing Basins of India

1967: Rajasthan Basin 1889: Assam Shelf *

1973: A&AA FB

1980: KG Basin
1958: Cambay Basin 1974: Mumbai Offshore 1985: Cauvery Basin
* By AR & T Co. - Assam Railways and Trading
Company Ltd.

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14
New Thrust areas
Deep waters
Gas Hydrates
Coal Bed Methane
Underground Coal Gasification
Tapping wind energy
Shale gas

Deepwater prospects

Vasishta, DWN-U, W
G-4, GS-29, DWN-N, D, E
Annapurna, DWN-A, P
DWN-98/2, IG, IB & DW-IV
Padmavati, Kanakadurga (Oil)

OIIP / GIIP Peak Rate

Oil 23.94 MMt 4770 m3/d *
Gas 95 BCM 24.1 MMSCMD

Gas Hydrate- Indian Scenario

Vast ocean cover around India -Gas Hydrate & Free gas below
A few favorable locales of gas hydrates accumulations identified both in
Eastern and Western offshore
Preliminary estimate shows resource of about 1.89 tcm in gas hydrates in
Indian deep seas

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 CBM: Coal Bed Methane

XI Plan (2007-12) production target: 1.24 BCM

 Operating in 5 CBM blocks
 FY09: CBM discovery in Bokaro block
 CBM production from Parbatpur, Jharia (Pilot project) commenced from
Jan2010.
 MoU with Arrow Energy, Australia for co-operation in CBM
 Methane resources: 1374 BCM
 Reserves established: 181 BCM

Underground Coal Gasification (UCG)

First UCG pilot site at Vastan,Gujarat finalized in Collaboration with
Skochinsky Institute of Mining (SIM), Russia
Site at Vastan, Gujarat selected for first pilot UCG station, after studying 14
Coal seams
Environmental clearance obtained in Feb 2010
Mining Lease awaited from GoI.
Gujarat Coal Gas resv estimated : 63 Bt

50 MW Wind Power Plant

Commissioned on 6 Sep08 - in Gujarat
 Power is being wheeled to ONGC installations in Gujarat.
 34 units of 1.5 MW each with cost Rs.3.07 Billion
 Total generated units being wheeled : 99.55MKWH/year.
 Estimated financial benefit to the tune of Rs.0.45 Billion p.a
Plan approved for another 100 MW Wind Farm in Rajasthan with an investment
of 400 crores to be completed by 2014.

Shale Gas
Pilot project on shale gas exploration launched on 23rd April 2010 in Damodar
Basin in association with M/s Schlumberger.
Shale gas integrated Pilot project Damodar valley First well RNSG-1 flowed
gas on 25th January. 2011 from Barren measures on hydro-fracturing of
shales.
Project cost: ` 1,280 million
Shale gas exploration relatively new
India becomes 3rd country after USA and Canada to explore shale gas.

Energy Projects under focus by ONGC Energy Centre, N.Delhi:

Hydrogen Generation through
Thermochemical Processes

LED Project

Exploration for Uranium

Solar Thermal Project

Solar Photo-Voltaic Project

Bioconversion of coal/oil to methane
Three Solar Thermal Engines installed at Solar Energy Centre (SEC),
Ministry of New and Renewable Energy (MNRE) campus at Gurgaon started
operating from 11th Sept 2010

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 Other sources of energy under consideration :

Solar

Tidal

Nuclear

Hydro

Geo-thermal

Bio-fuels

Clean Coal

Hydrogen

The Path ahead

I would suggest ONGC to give world leadership in management of energy

sources, exploration of energy sources, diversification of energy sources,
technology in underground coal gasification, and above all, finding new
ways of tapping energy, where ever it is, to meet the ever growing demand
of the country.

Dr. A.P.J. Abdul Kalam during the Golden Jubilee celebrations of ONGC

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