Focus denies 'mismanaging' Rajasthan reservoir

Vol 15, PW 12 (15 Dec 11) Exploration & Production

Ajay Kalsi-owned Focus Energy, listed in London as Indus Gas, has dismissed criticism it is ‘mismanaging’ reservoirs at two Rajasthan onland blocks near the border with Pakistan using “trial and error” drilling techniques.

’ “Who told you that” said a Focus spokesperson, angrily, when contacted by PETROWATCH. “These allegations are baseless! We have done whatever was required at these blocks.

Someone has given you wrong information.” He then hung up.

But an industry source close to Delhi-based Focus reports the company encountered severe ‘mud-loss’ after spudding a well at 13,195-sq-km Rajasthan block RJ-ONN-2003/2 on November 18. “Focus spud this well near Kuchdi village,” he claims, “in the southern portion of the block.

” Using a Chinese-built model ZJ-30 rig, drilling reached 181 metres in three days before mud loss began. Focus later quit drilling, he adds, after unsuccessfully adding ‘chemicals’.

“It installed ‘surface casing’ and abandoned the well,” we are told. Our source alleges the mud loss incident is symptomatic of a worrying trend at Focus of not doing research before drilling wells and points to the Focus-operated pre-NELP 4026-sq km RJ-ON/6 block adjacent to RJ-ONN-2003/2.

“Focus hasn’t defined the ‘petroleum system’ properly to investigate the formation of subsurface hydrocarbons,” we hear. “Nor has it carried out geochemical analysis to understand the reservoir.

” Focus has drilled 18 wells at RJ-ON/6, according to the DGH, but is producing barely 7m cf/d (198,000 cm/d) from two wells at the SGL field. In reality, we are told, Focus has drilled over 30 wells, mostly dry.

“Focus is just guessing half the time,” we learn. “Most of its wells are dry or not prospective.

” He said Focus doesn’t even know if there is any ‘source rock’ in the area or if the gas it is producing is from its own reservoir or has migrated over from Pakistan!