The Hindu Business Line : Cairn Energy starts drilling in Ravva field

Cairn Energy has launched its nine-month long drilling campaign in search of oil and gas in the Ravva field offshore Andhra Pradesh. It hopes to have a plateau production of 50,000 barrels of oil per day until the end of 2007.

The company, which has a decade-long presence in the region, plans to drill six infill wells and one firm exploration prospect, using the Hercules rig, which has arrived recently from Malaysia.

According to a Cairn press release, the company has the option of drilling five more wells. The Hercules reached Kakinada port from Johor Port in Malaysia. It is placed offshore in the Ravva field and drilling operations on the first well have started.

PRODUCTION LEVELS

Ravva oil production levels, which were approximately 3,700 barrels of oil per day (bopd) before Cairn took over a decade ago, were increased to 35,000 bopd in 1997 and the current levels are 50,000 bopd, the company release said.

Cairn holds a 22.5 per cent working interest in the Ravva field with the remaining interests held by ONGC (40 per cent), Videocon Industries (25 per cent) and Ravva Oil (a wholly owned subsidiary of Marubeni Corporation), 12.5 per cent.

The crude oil produced from the Ravva field is sold to several refineries across the country, while the gas is sold to Gas Authority of India Ltd.

More Stories on : Outlook | Petroleum | Andhra Pradesh

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