Cairn-A Global Scale Crude Oil producer comes off the block
Cairn India Ltd alongwith its partner Ongc will invest $ 4 bn into the
development of the Rajasthan onshore fields over the next 2 years, with Mangala
fields becoming commercial by second half 2009, volumes and profitability will
take a exponential jump. This alongwith production from the existing Ravva oil
fields will raise Cairn India's daily production to over 100,000 bopd.
Operational modifications approved
The Ministry of Petroleum and Natural Gas of the Government of India (GoI), has
conveyed its agreement to shift the delivery point with respect to the contract
area under the RJ-ON-90/1 Production Sharing Contract to Salaya at the Gujarat
coast.
Oil field development work in Rajasthan has already started. The integrated
upstream and midstream development is on course to produce first oil from
Mangala in the second half of 2009. All major civil and construction contracts
have been awarded and long lead time items have been procured.
The Chief Executive Officer of Cairn India, Rahul Dhir said,
"This is a very positive development for the project. Along with our joint
venture partner ONGC we have already invested more than $ 1 billion In Rajasthan
and plan to invest an additional $2.6 billion in the development over the next
two years.
This is a project of national importance and a landmark project for Rajasthan,
generating very significant royalties for the State and creating more than
10,000 jobs in Barmer during the construction phase."
About Cairn India
Owned to the extent of 69 per cent by Cairn Energy Plc, UK, Cairn India is
focused on exploration and production in 14 blocks spread on the East and
Western regions of India, with 2 existing production points.
Cairn India has had significant success in Rajasthan's RJ-ON-90/1 block with
the Mangala field, which has been followed up by a string of 20 discoveries in
this 1858 sq km exploration block identified as RJ-ON-90/1.
Post Mangala, Cairn is now developing the Aishwarya, Saraswati, and
Raageshwari fields with production being shared in the 70:30 ratio with Ongc.
Further on, another 430 sq. km block in Rajasthan is being developed alongside
with Ongc, with key focus on the Bhagyam and Shakti fields. The PSC terms remain
at 70:30 in favour of Cairn India.
India imports 2 mln bopd, produces about 700,000 bopd out which 50,000 bopd
are being currently provided by Cairn India from the Ravva Orissa Offshore
fields.
Alongside Cairn Energy UK, key stakeholders include LIC with 2.17 per cent,
HSBC with 1.52 per cent and Petronas Malaysia with 9.92 Equity.
ROHIT
9868245473
Nothing in this article is, or should be construed as, investment advice.
Cairn India Ltd alongwith its partner Ongc will invest $ 4 bn into the
development of the Rajasthan onshore fields over the next 2 years, with Mangala
fields becoming commercial by second half 2009, volumes and profitability will
take a exponential jump. This alongwith production from the existing Ravva oil
fields will raise Cairn India's daily production to over 100,000 bopd.
Operational modifications approved
The Ministry of Petroleum and Natural Gas of the Government of India (GoI), has
conveyed its agreement to shift the delivery point with respect to the contract
area under the RJ-ON-90/1 Production Sharing Contract to Salaya at the Gujarat
coast.
Oil field development work in Rajasthan has already started. The integrated
upstream and midstream development is on course to produce first oil from
Mangala in the second half of 2009. All major civil and construction contracts
have been awarded and long lead time items have been procured.
The Chief Executive Officer of Cairn India, Rahul Dhir said,
"This is a very positive development for the project. Along with our joint
venture partner ONGC we have already invested more than $ 1 billion In Rajasthan
and plan to invest an additional $2.6 billion in the development over the next
two years.
This is a project of national importance and a landmark project for Rajasthan,
generating very significant royalties for the State and creating more than
10,000 jobs in Barmer during the construction phase."
About Cairn India
Owned to the extent of 69 per cent by Cairn Energy Plc, UK, Cairn India is
focused on exploration and production in 14 blocks spread on the East and
Western regions of India, with 2 existing production points.
Cairn India has had significant success in Rajasthan's RJ-ON-90/1 block with
the Mangala field, which has been followed up by a string of 20 discoveries in
this 1858 sq km exploration block identified as RJ-ON-90/1.
Post Mangala, Cairn is now developing the Aishwarya, Saraswati, and
Raageshwari fields with production being shared in the 70:30 ratio with Ongc.
Further on, another 430 sq. km block in Rajasthan is being developed alongside
with Ongc, with key focus on the Bhagyam and Shakti fields. The PSC terms remain
at 70:30 in favour of Cairn India.
India imports 2 mln bopd, produces about 700,000 bopd out which 50,000 bopd
are being currently provided by Cairn India from the Ravva Orissa Offshore
fields.
Alongside Cairn Energy UK, key stakeholders include LIC with 2.17 per cent,
HSBC with 1.52 per cent and Petronas Malaysia with 9.92 Equity.
ROHIT
9868245473
Nothing in this article is, or should be construed as, investment advice.
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