GNR plans 4 wells at Kanawara and Nth.Kathana
Oil prices might be low but BSE-listed Gujarat Natural Resources (GNR), formerly Heramec, is determined to begin a Rs60cr ($9m) four-well drilling campaign at its Kanawara and North Kathana fields in Gujarat by early 2017.
GNR tells us it aims to hire drilling and well-completion, G&G and oil field services including mud, logging, coring, perforation, and testing by September 2016. "We invited EoIs back in June 2015 and received a good response from contractors," says GNR.
"Hopefully oil prices will improve by the time drilling begins." Either way, he adds, GNR will begin drilling three wells K#11, K#12 and K#13 up to 1800 metres TD at Kanawara and one well NK#6 to 2500 metres at North Kathana. Each well will cost Rs15cr ($2.25m).
GNR also wants to submit a Field Development Plan for Kanawara to the DGH by the middle of this month (April). Kanawara already produces 200 b/d oil (supplied to IndianOil's Koyali refinery) and 45,000 cm/d gas from nine wells: K#1, K#2, K#3, K#5, K#6, K#7, K#8, K#9 and K#10.
One other well K#4 was abandoned. Around 35,000 cm/d gas goes to local factories while the remaining 10,000 cm/d has been allocated to customers who are yet to begin taking supplies.
At North Kathana only well NK#5 drilled by GNR is producing around 40 b/d. Well NK#1 drilled by ONGC is not producing.