GAIL drilling tenders in July for Cauvery block

Vol 16, PW 23 (13 Jun 13) Exploration & Production

GAIL will float tenders next month (July) to hire a 1000-hp rig and services to drill three exploration wells at its onland block CY-ONN-2005/1 in Tamil Nadu.

Three drillers sent in EoIs last month (May) in response to a GAIL notice in April: Quippo, John Energy and Shiv Vani. Other drillers, says GAIL, are also welcome to bid for the contract at the 946-sq km NELP-VII Cauvery onland block.

"Companies will get 45 days to submit bids,” says GAIL. “Any company that can mobilise its rig by December can bid.

” GAIL, he adds, will take another month to open price bids. "Companies tell us we must place our order 45 days before the mobilisation deadline," adds GAIL.

"So we plan to award the rig and services contract by end-October." GAIL was forced to abandon its top-ranked three drilling locations as they lay in the Udayamarthandapuram Bird Sanctuary and the Point Calimere Wildlife and Bird Sanctuary.

Three other locations were selected to avoid wasting two years waiting for environmental clearance. Located in the Thanjavur district of Tamil Nadu these locations were identified from 500-sq km 3D and 75-sq km high-resolution 3D shot by Russian seismic contractor Saratoneftgeofizyka in November 2012.

GAIL wants the first well drilled to 1000 metres TD, the second to 1200 metres TD and the third to 2200 metres TD. GAIL wants to complete the job before March 2014 when Phase-I ends, but is considering a six-month extension to September 2014.