Cairn announces two new oil, gas discoveries in Rajasthan

Updated on May 11, 2007 05:07 AM IST
It also said it had received a six month extension from the government for exploration of the northern appraisal area of the block, reports Deepak Joshi.
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None | ByDeepak Joshi, New Delhi

Cairn India announced two new oil and gas discoveries in its Rajasthan block on Thursday. It also said it had received a six month extension from the government for exploration of the northern appraisal area of the block.

The discoveries were made in the Kameshwari West-2 and Kameshwari West-3 wells. The Kamleshwar West-2 discovery is located 12 km north west of the 2003 Kamleswari discovery, and 56 km south of the Mangala field. The Kamleshwari West-3 discovery is located to the north of Kamleshwari West-2.

Two drill stem tests were conducted whose results in the upper interval confirmed the presence of a gas pool, which flowed at approximately 75,000 standard cubic feet per day (SCFD). The deeper test of the potential oil accumulation remains inconclusive due to the tight nature of the reservoir rock.

Cairn India chief executive officer Rahul Dhir said, “We delighted to have secured this extension in order to further evaluate the potential of this area. The two discoveries confirm our belief that the Rajasthan basin is world class and will continue to add incremental value."

The granting of the extension will allow Cairn India to carry out an appraisal programme to delineate and explore the full potential of the Northern Appraisal Area (NAA), which covers an area of 879 square kilometres. “These discoveries have opened up a new play in the lower Dharvi Dungar sands on the western margin of the Rajasthan basin,” the company release stated..

The area is covered by 350 square km of 3D seismic data acquired in 2006. Further operations will re-commence in the NAA with exploration well Kameshwari West ‘M’.

In June 2005, Cairn was granted an 18-month extension (until 14 November 2006) to complete its activities in the northern appraisal area to the north and west of the development a.rea. However, the work programme in this area was interrupted by the severe flooding in Rajasthan in 2006. Cairn Indiaceased operations in this area and entered discussions with the GoI for a further extension of part of this acreage to complete its planned work programme.

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