GAIL delays CB-ONN-2010/11 drilling

Vol 18, PW 10 (15 Jan 15) News in Brief

GAIL has postponed until September this year (2015) plans to begin drilling eight exploratory wells at onland block CB-ONN-2010/11.

“There have been delays,” admits a GAIL source. “We don’t have environmental clearance yet.

” A public hearing to approve the proposed Rs160cr ($26m) drilling programme will be held at Dugari village in Tarapur on January 21, 2015. By April, GAIL says it will issue a tender to hire a 1000-hp rig to drill the eight wells to 2000-2500 metres TD over three years.

Three wells will be drilled first and another five if there’s a discovery. According to DGH data, total estimated exploration costs at the block will be $29.06m and total estimated development costs, assuming a discovery, will be $87.17m.

Well locations will be fixed after GAIL interprets 131-sq km 3D shot by Alpha Geo. In December GAIL selected Gurgaon-based Samit Spectrum to interpret the Alpha seismic.

GAIL also wants a consultant to oversee drilling.