Cairn enters race for two Sri Lankan oil blocks

Shirish Nadkarni
OGJ Correspondent

MUMBAI, Mar. 7 -- Cairn India has bid on oil exploration Blocks 001 and 002 in Sri Lanka under the ongoing Sri Lankan licensing round and said it will undertake exploratory drilling in new areas in Rajasthan.

Block 001 in Sri Lanka is spread over 3,338 sq km, while Block 002 encompasses 3,572 sq km. The latter is near the Cauvery basin in India, where oil and gas already has been discovered, and it therefore is attracting bids from other international oil exploration companies as well.

"The chances of striking oil there are higher, as the geological features of the blocks are similar," said a Cairn India source.

In the contract area RJ-ON-90/1 in Rajasthan, Cairn Energy India Ltd., the operator on behalf of joint venture partners Cairn India and Oil & Natural Gas Corp. (ONGC), has decided to commence production activities and development drilling at Mangala field.

Drilling and completion activities will commence during the third quarter, while production from Mangala is scheduled to begin by 2009. Development drilling and production activities from other fields in Rajasthan will start in 2009.

Cairn Energy has invited expressions of interest from service contractors for development and exploratory drilling in Rajasthan. The primary term of the contract will be 3 years, with an optional extension period of 1 year each.

Cairn India said it will focus on both mature and relatively unexplored areas, undertaking operatorship of onshore and shallow water locations with selected partners.

"Our cumulative exploration expenditure on exploration between 2007 and 2009 is expected to touch 6 billion rupees ($150 million), the Cairn India source said.

"We will continue to renew exploration portfolios through licensing rounds, farmins, and trades and are currently reviewing the package in the seventh round of bidding under India's New Exploration Licensing Policy (NELP-VII)."

Related Articles

MMS chief hopes next president, Congress won't reinstate OCS bans

12/19/2008 US Minerals Management Service Director Randall B. Luthi said on Dec. 9 that he hopes the Obama administration and Congress seriously consider expa...

FERC issues final EIS for proposed LNG project near Baltimore

12/19/2008 The Federal Energy Regulatory Commission's staff identified additional adverse environmental impacts as it issued a final environmental impact stat...

Gran Tierra defers Colombian pipeline project

12/17/2008 Gran Tierra Energy Inc., Calgary, has deferred a 100-km pipeline project in Colombia connecting Costayaco field to the Orito gathering facilities.

Petrobras gets loan for Revap refinery upgrades

12/14/2008 Brazil's Petrobras has borrowed ¥750 billion from a consortium of Japanese banks to finance its investments in the 226,000-b/d Henrique Lage (R...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected