Cairn postpones Mangala shutdown

Vol 19, PW 3 (08 Oct 15) News in Brief
     

Cairn owner Anil Agarwal has cancelled a planned maintenance shutdown at the company's Mangala Processing terminal at Rajasthan block RJ-ON-90/1 - clearly unwilling to lose more revenue as oil prices struggle to recover.

Agarwal's decision has disappointed contractors hoping to make money replacing and adding pipelines during the planned 10-day shutdown, earlier scheduled for October 4. “I was calling Cairn daily to ask when we’ll get the LoA for jobs during the shutdown," says a contractor.

“We kept machines and crew on standby. On September 29 I learned the shutdown is postponed to next year.

” Cairn was planning to add or replace pipelines carrying oil from 17 well pads at the Mangala oilfield, seven at Bhagyam and well pad 8 at Aishwariya. But owner Agarwal reportedly told management not to bother as he doesn’t want production to suffer with such low prices.

On September 30 Brent was trading at $46/barrel. RJ-ON-90/1 produces on average 172,224 b/d, according to Q1 results on July 21.

LNG Summit