Cairn India makes oil, gas discovery in Rajasthan

December 22nd, 2008 - 7:47 pm ICT by IANS  

Jaipur, Dec 22 (IANS) Oil explorer Cairn India has made an oil and gas discovery in Rajasthan’s Barmer district, over 480 km from here, it said Monday.”The discovery is located approximately 1.5 km east of the Raageshwari-1 well in the southern part of the Mangala, Aishwariya Raageshwari and Saraswati development area,” the company said in a statement.

The adjacent Raageshwari field is commercial and has an approved field development plan.

The well was spudded or drilled Nov 21, and reached a total depth three days later. The company is yet to ascertain the total reserves, but said the well in the testing phase had a flow of 500 barrels of oil per day and 0.4 million standard cubic feet of gas a day.

The discovery is expected to ease India’s oil needs. It currently imports approximately two million barrels of oil per day (bopd). It produces approximately 700,000 bopd, of which approximately 50,000 bopd comes from the Cairn-operated Ravva oilfield on the east coast of India.

“This well on the eastern flank of the Raageshwari structure extends the productive reservoir in a new trapping style and proved a deeper oil column,” Cairn India chief executive Rahul Dhir said in the statement.

“The well also demonstrates the potential for the addition of incremental reserves from the areas around the discoveries already made in the licence,” Dhir added.

Cairn India is currently focussing on exploration and production in India, where it has a working interest in 14 blocks, two of which produce hydrocarbons. The company holds material exploration and production positions in western and eastern India along with new exploration rights elsewhere.

Cairn made a major oil discovery at Mangala in Rajasthan in 2004. More than 20 discoveries have been made in the state’s RJ-ON-90/1 block, where it operates under a production sharing contract signed May 15, 1995 with the state-owned Oil and Natural Gas Corp (ONGC).

Cairn India holds 70 percent in the venture.

Related Stories

Tags: , , , , , , , , ,

Posted in Business |