Home » Cairn gets nod to produce gas in Rajasthan

Cairn gets nod to produce gas in Rajasthan

Cairn gets nod to produce gas in Rajasthan
Shares

Oil and Natural Gas Corporation (ONGC) and the Directorate General of Hydrocarbons (DGH) have given Cairn India the go-ahead to start production from the Bhagyam oilfield, the second-largest find in the prolific Rajasthan block.

Cairn will maintain oil pro­duction from Bhagyam at the level of 20,000-25,000 barrels per day (bpd) from next month and reach the approved peak output of 40,000 bpd by April. ONGC, which holds 30 per cent in the Rajasthan block, had asked for third-party certification to ascertain if Cairn's production plan would prudently exploit the reserves and if the surface facilities were capable of handling oil and water from the field.

The certification came in a few days ago after which ONGC gave its go-ahead for comm­encement of production. The FY12 production rate, work programme and budget for the Bhagyam field would now be put up to the block oversight committee for approval.

Leave a Reply