Hopes high for PY-3 production re-start

Vol 16, PW 21 (16 May 13) News in Brief

UK-based operator Hardy Oil & Gas has called a crucial Operating Committee (OC) meeting in Chennai on May 17 that could lead to resumed PY-3 production of 3000 b/d.

PY-3 has been shut-in since July 2011 over a dispute with the DGH. The OC will review and approve the ‘comprehensive Field Development Plan’ sent on May 10 by Hardy (18%) to partners ONGC (40%), Eni-subsidiary HOEC (21%) and Tata Petrodyne (21%).

After OC approval, the development plan must be approved by the PY-3 Management Committee before production can resume. The OC will also review PY-3 field safety and take corrective steps, if needed, in the wake of a March 11 letter from the government’s Oil Industry Safety Directorate (OISD) and an April 20 follow-up letter from the DGH.

The OISD wants Hardy to check the Christmas trees and valves and to plug and abandon the four PY-3 wells if it does not intend to revive production in the near future.