John rig for GAIL
Operator GAIL is set to hire a 1000-hp rig from John Energy to drill three remaining Phase-I exploration wells at 4613-sq km NELP-VI Rajasthan onland block RJ-ONN-2004/1.
GAIL is expected to issue a LoI next week confirming the award of approximately $14,000/day contract, which John won despite competition from Essar, Quippo, Deep Industries and Shiv Vani. “We want the rig mobilised by end-May (next month),” confirms a GAIL source.
GAIL expects each well could take up to 35 days to drill to depths of up to 1800 metres or the ‘Jodhpur Sands’ geological formation. It is hoping to find ‘light oil’ as it previously found ‘very heavy’ oil with an API of 9 degrees at two exploration wells drilled in 2011.
Yet another exploration well was plugged and abandoned in February this year after it turned out dry. GAIL and GSPC each hold 22.225% at RJ-ONN-2004/1 while HPCL holds 22.22%; BPCL, Hallworthy Shipping and Nitin Fire Protection Systems each hold 11.11%.