HOEC riding high on Dirok discoveries in Assam

Vol 18, PW 2 (11 Sep 14) Exploration & Production

Six years after first announcing the Dirok-1 gas discovery BSE-listed HOEC is at last planning to develop pre-NELP exploration block AAP-ON-94/1, which straddles the border between Assam and Arunachal Pradesh in India’s hostile north-east.

HOEC, where Italian explorer Eni holds 47.18%, is planning six gas production wells, according to a $54m Field Development Plan (FDP) submitted to the DGH in August (last month). After the oil ministry approved the Dirok-1 discovery at the 305-sq block in September 2013, HOEC drew up plans to drill three new production wells and to begin production from three discovery wells drilled earlier: appraisal wells Dirok-4 and Dirok 2, and exploration well Dirok-1.

“Only after we get FDP approval will we hire a rig and construct production facilities,” HOEC tells us. “This could take another five or six months.

” Also awaited is environmental clearance for the development plan, which envisages 560,000 cm/d and 800 b/d condensate production, beginning August 2016. Dirok 4 was completed in May 2012 and drill stem tested 56,000 cm/d and 32 b/d condensate; Dirok-2 was completed in January 2011 and tested 170,000 cm/d and 140 b/d condensate; Dirok-1, completed in January 2008, tested 165,000 cm/d and 75 b/d condensate.

Lakkhi-1, drilled by UK-based Premier Oil before its exit in 2006, was dry.

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