Assam Company eyes more oil and gas blocks

Assam Company eyes more oil and gas blocks
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First Published: Mon, Apr 21 2008. 02 56 PM IST
Updated: Mon, Apr 21 2008. 02 56 PM IST
Kolkata: The Assam Company Ltd (ACL) is looking to partner domestic and international firms in its pursuit for more oil and gas blocks to be auctioned under the seventh round of National Exploration Licensing Policy, its director Abhay Chawdhry said.
“In this round, we are planning to bid for more oil and gas blocks in other parts of the country. We are in talks with several companies to form joint venture for bidding,” he told PTI.
The government will auction 57 oil and gas blocks under National Exploration Licensing Policy-VII, the bid date for which has been postponed to 16 May.
ACL, which currently has two blocks in joint venture with Canadian energy company Canaro Resources, is aiming at larger blocks in this round. Chawdhry, however, did not divulge names of the possible partners for NELP VII.
Speaking about the existing oil blocks, he said Amguri fields was producing 1,000 barrels oil equivalent (BOE) of oil and gas per day, but the production would go up after more facilities were installed.
“We are aiming to increase the production to 5000 BOE per day by end of 2008-09,” he said.
Speaking about development of Amguri fields and AA-ON exploration blocks, he said that the company would invest $32.82 million as its share for development of 14 oil and gas wells for 2008-09.
The company said that as per plan submitted with the Director General of Hydrocarbons (DGH), investment would be carried out in eight development wells, two are in appraisal stage and two workover wells. Two exploratory wells were in AA-ON 7 block.
ACL holds 40% non-operator interest in Amguri fields and 35 in AA-ON 7 exploratory block. The rest was held by Canaro.
Assam Company also plan for Rs2,000 crore hydrocarbon special economic zone in Gujarat beginning 2009 with Gujarat State Petroleum Corporation (GSPC).
“We are at the planning stage and financial closure of the project was likely by end of the current year. To part finance the project an investment of $250-300 million would be raised in debt and equity by end of the year,” Chawdhry said.
Financial details were being worked out and overseas listing was also being examined, though nothing had been finalized as yet, he added.
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First Published: Mon, Apr 21 2008. 02 56 PM IST