ONGC caps gas leak at Assam well after 15 days, no injuries

Guwahati/New Delhi, June 27: In a major operational success, the Oil and Natural Gas Corporation (ONGC) has finally capped a persistent gas leak at one of its production wells in the Baghjan region of Assam, 15 days after it was first reported. The state-run energy major confirmed that the well was brought under control without any casualties or injuries to personnel or civilians.

Leak Contained After Two Weeks of Coordinated Effort

The leak, first detected on June 11 at the Baghjan-24 well in the Tinsukia district, had triggered a swift response from ONGC’s Crisis Management Team. Initial efforts were complicated by high pressure in the reservoir and challenging terrain. The well, located in proximity to the ecologically sensitive Dibru-Saikhowa National Park, posed a significant environmental concern.

According to a company statement, “After multiple attempts involving pressure control and kill fluid injections, the leak has been completely sealed. The well is now under observation, and the area has been declared safe.”

ONGC collaborated with experts from the Oil Industry Safety Directorate (OISD), the Directorate General of Hydrocarbons (DGH), and foreign technical consultants to execute the capping operation safely.

No Human or Wildlife Casualties

Despite the proximity to human habitation and protected wildlife zones, no injuries or fatalities were reported. ONGC officials confirmed that extensive safety protocols, including evacuation and a containment perimeter, were enforced early in the process.

“Ensuring human and environmental safety was our top priority. We are thankful to the local administration and residents for their cooperation,” said ONGC Director (Onshore) Anurag Sharma.

Local environmental monitoring teams reported minor atmospheric gas readings in the initial days but assured that the levels never exceeded permissible limits.

Market Context and Investor Sentiment

While the incident did raise temporary concerns about ONGC’s operational safety and environmental management, investor confidence has largely remained intact. The stock saw minor volatility during the two-week period but rebounded after the successful capping news.

ONGC shares closed at ₹273.40 on the BSE on Thursday, up 1.3% from the previous session.

“Oil and gas production carries inherent risks. What matters is the company’s ability to respond. ONGC’s containment of the Assam gas leak without any injuries shows strong crisis management,” said Ramesh Damani, market expert and investment advisor.

Lessons from the 2020 Baghjan Blowout

The incident reignited memories of the 2020 Baghjan blowout at an Oil India Limited (OIL) site, which lasted several months and caused widespread ecological damage. However, the latest event contrasts starkly in terms of response time and environmental impact.

ONGC has reportedly implemented several recommendations made post-2020 to improve its risk preparedness and emergency protocols. "This event tested our upgraded systems, and the results were reassuring,” said a senior ONGC safety officer involved in the operation.

Regulatory Oversight and Future Precautions

The Ministry of Petroleum and Natural Gas has asked ONGC to submit a detailed incident report. Meanwhile, the DGH has also initiated an internal review to ensure all safety protocols were followed.

“While the incident was resolved efficiently, recurring operational challenges in Assam’s gas fields suggest the need for continuous technological upgrades,” said Rajiv Rawat, energy analyst at ICICI Securities. He emphasized better predictive maintenance tools and real-time reservoir monitoring as future imperatives.

Environmental Assurance and CSR Measures

ONGC has assured that post-incident environmental checks will be conducted in the area. The company will also initiate a Corporate Social Responsibility (CSR) outreach program for residents of nearby villages who were affected by safety cordons and temporary displacement.

“We understand that such incidents can cause anxiety in the local population. We are planning a medical camp and awareness drives as a goodwill measure,” said an ONGC spokesperson.

Investor Outlook: Resilience in Focus

Analysts see this episode as a testament to ONGC’s operational maturity and crisis management capabilities.

“Given ONGC’s upstream dominance and India’s push for energy self-reliance, such isolated incidents, if well-managed, won’t affect the long-term investment narrative,” said Madhavi Bhandarkar, portfolio manager at Kotak AMC.

With global crude prices stabilizing and India's energy demand rising, ONGC is expected to benefit from improved realisations. The company is also aggressively investing in carbon capture and green hydrogen, which analysts view as a positive diversification strategy.

The successful capping of the gas leak at the Assam well marks a crucial operational milestone for ONGC. While such incidents highlight the complex nature of energy exploration, they also underscore the importance of robust safety mechanisms and stakeholder engagement.

With no casualties, limited environmental disruption, and a swift containment response, ONGC appears to have passed this critical test — reinforcing its position as a reliable energy leader amid evolving challenges.