No interest in Oil India rig tender

Vol 17, PW 12 (30 Jan 14) News in Brief

Oil India will struggle to hire a rig to drill two exploration wells at its Assam block AA-ONN-2002/3 because of the short contract duration.

Drillers also complain it's difficult to mobilise rigs in the rugged terrain. And don't forget the region is notorious for kidnappings by local insurgents.

Shiv Vani and John Energy, both experienced in working in India's volatile northeast, say they won’t bid for Oil India’s global 'integrated' tender to hire a 1000-hp land rig and allied services. Oil India issued the tender on January 22 to drill one 'firm' exploration well KA-1 to 2100 metres TVD and one optional well at the 1095-sq km NELP-IV onland block.

Contractors must also arrange drilling services like effluent water treatment. A pre-bid is due for February 19, with bids expected by March 18.

The rig and services must be mobilised within 150 days. Oil India (30% and operator) and ONGC (70%) are in Phase-II at AA-ONN-2002/3 which began early 2011.