Directorate-General of Hydrocarbons (DGH) received a request from Reliance Industries (RIL) to allow it to transfer its equity in a hydrocarbon block offshore Gujarat-Saurashtra region to Hardy Oil & Gas.
This shallow water block -GS-OSN-2000/1- was awarded to the consortium of RIL (90 per cent) and Hardy Exploration (10 per cent) under the NELP II round of bidding.
The partners RIL-Hardy in May 2007 discovered gas in the block and at present the find is at an appraisal stage — which will help decide the commercial viability of the discovery.
Media reports suggest that RIL wants to sell stake in the block because it does not feel operating the block would be commercially lucrative either at the current gas price or even if it goes up, keeping in mind the capital cost involved in developing the reserves.
According to a statement issued on May 15, 2007, RIL had said the discovery in well GS01 B1 in block GS-OSN-2000-01 was significant for Reliance in the West coast carbonate area. GS01 B1, is the 51st exploratory well drilled by Reliance at a water depth of 78 metre, up to a total depth of 2,282 metre.
The formation evaluation, including modular dynamic testing (MDT), confirmed the presence of hydrocarbons in the mid-miocene carbonate reservoir. In this zone, the drill stem test (DST) was carried out subsequently, which flowed 18.6 million cubic feet of gas with 415 barrels of condensate a day, RIL had said.
Leave a Reply
You must be logged in to post a comment.