Alkor Petro ready for work on four marginal fields
Alkor Petro is waiting for DGH approval before beginning development work at four discovered marginal fields in Gujarat.
DGH sources confirm that Hyderabad-based Alkor submitted its work programme and financial estimates to the management committee of the Kanawara, North Kathana, Allora and Dholasan fields, where it is operator with a 30% stake, in the last week of April. DGH approval is expected by mid-June.
None of the four fields are producing. Two months ago, Alkor issued a tender for a 50-ton workover rig and oilfield services for its non-binding work programme at the four ex-ONGC fields.
Details of the work programme are unavailable but its understood Alkor is planning workovers of earlier wells drilled by ONGC and possibly two new development wells. We learn the company believes there is good upside in the four fields and is also planning a small 3D survey covering between 8-sq km to 15-sq km.
Alkor Petro was set up four years ago and is part of the Rs80cr ($18m) Hyderabad-based construction-to-IT Alkor Group of Saibabu Gorla. Although small, Alkor will finance its development programme with its own money, not debt.
We hear Alkor has ambitions to expand and is on the lookout for more small discovered fields with exploration upside either in Gujarat or elsewhere. With its HQ in Hyderabad, Alkor also has two offices in Baroda and Mehsana with a combined staff of 15 to oversee local operations.
Last August, Alkor acquired 100% control of Heramec from Hardy Exploration and its 30% stake in six marginal fields. Alkor also has a 30% non-operator stake in HOEC-operated North Balol and GSPC-operated Unawa.
Last year HOEC sold its 25% stake in five of the six fields to GSPC, but retained North Balol.