ONGC Drills Second Geothermal Well in Ladakh, Eyes Pilot Plant

The Puga field has been identified as India's most promising geothermal resource. Exploratory work has been carried out intermittently for decades. Commercial geothermal generation has yet to take off, held back by technical hurdles and high upfront costs.

Geothermal energy harnesses heat from beneath the earth's surface to generate round-the-clock, low-carbon power. It does not depend on weather conditions, unlike solar and wind. India is working toward a target of 500 GW of non-fossil-fuel electricity capacity by 2030, and geothermal could help diversify the renewable mix beyond solar, wind and hydropower.

ONGC's progress in Puga is a small step toward that goal. Each well costs several crore rupees, and the pilot plant will test whether the technology can be scaled economically. Success would open a new frontier for the state-owned explorer, which is seeking to expand beyond oil and gas into clean energy. The company has also invested in solar parks and green hydrogen projects.

For now, the focus is on the pilot plant. ONGC has not disclosed a timeline for its completion. The project will be watched closely by other Indian energy companies and by policymakers looking for alternatives to coal and imported natural gas.