Cairn India finds gas, oil reserves in Rajasthan

Cairn India finds gas, oil reserves in Rajasthan

New Delhi: Cairn India Ltd on Monday announced that it has made an oil and gas discovery adjacent to the Raageshwari oilfield in its Rajasthan block.

Raageshwari East 1/1Z well encountered about 10 meters of net oil pay and 1.4 meters of gas pay, a company press statement said here.

Cairn has made several oil and gas discoveries in its Rajasthan Block RJ-ON-90/1 and in the first phase is developing Mangala, Bhagyam and Aishwariya oil finds to produce 175,000 barrels per day of crude oil in the second half of 2009.

“The discovery is located approximately 1.5 km east of the Raageshwari 1 well in the southern part of the Mangala, Aishwariya, Raageshwari and Saraswati development areas," it said. “The adjacent Raageshwari field is commercial and has an approved field development plan."

The well was spudded on 21 November and reached a total depth on 24 November.

The open hole drill stem test flowed 40 degree API oil at a stabilised rate of 500 barrels of oil per day plus 0.4 million standard cubic feet per day of gas.

Cairn India CEO Rahul Dhir said: “The success of this well on the eastern flank of the Raageshwari structure extends the productive reservoir in a new trapping style and proved a deeper oil column. The well also demonstrates the potential for the addition of incremental reserves from the areas around the discoveries already made."

Future work on the Raageshwari East 1/1Z discovery includes field studies to determine the extent of the discovery as well as evaluate cost-effective development options, he added.