Project based learning (PBL) is recommended to address the needs of millennial learners. It is a studentcentred methodology that promotes development of the 4C - Critical thinking, Communication, Collaboration and Creativity. Engineering students need to develop these skills right from the first year. While designing the curriculum of FYBTech in our autonomous college the concept of active learning is introduced through ‘Environmental studies’ and ‘Industrial Applications’ with a focus on communication, collaboration and creativity. During the curriculum design process, we came across the ‘Engineering Exploration’ course for First year developed by KLE Tech, Hubbali. Considering courses added in first year, it was thought that learning through activities and developing application based on need is best suited for Sem III students. Also it was decided to introduce the course in choice based audit format. From July 2018 Engineering Exploration course was introduced with activity based learning and project development cycle. Our experience of offering such course in audit mode for second year students is narrated in this paper. Since the duration of audit course was limited, students could demonstrate design and partial working of the project which we tried converting to internships. Students of first batch indicated that they appreciate activity based learning and understand the importance of development cycle of a project. Completion of this course motivated them to participate in project competitions like e-Yantra Robotic competition, Robocon etc.