State-owned Oil and Natural Gas Corporation (ONGC) on Thursday said it has linked Panna oilfield in the Arabian Sea to shore through a sub-sea pipeline, helping save $43,000 a day in cost that was previously incurred in transporting crude oil through ships.

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Panna field, which is part of ONGC's Bassein & Satellite (B&S) asset of western offshore, produces 9,600 barrels of oil per day.

With "the successful linkage of Panna process platform with subsea pipeline", the company "has achieved a significant cost reduction of approximately $ 43,000 per day," ONGC said in a statement.

Oil from the field was previously transported through ships. Now it flows to shore through the sub-sea pipeline.

"The submarine pipeline connection minimizes the production downtime associated with tanker changeovers and eliminates demurrage charges during adverse weather conditions," it said. "These combined savings and improved operational agility position ONGC for long-term success in the offshore oil and gas sector.

The job involved laying of two segments of 37.50 km of submarine pipeline and installation of three main oil line pumps (MOL) and 3 booster pumps.

The Panna-Mukta oilfield consists of two adjacent offshore oil fields north-west of Mumbai.

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"This remarkable feat is a triumph for ONGC and underscores its commitment to technological advancement and ushering in operational excellence in the oil and gas industry to raise output and further secure India's energy interest," the statement said.

(Edited by : Keshav Singh Chundawat)