The Hindu Business Line : Cairn hopes to stabilise Cambay basin supplies

According to sources, supplies from the operation have become erratic in last few weeks and are currently hovering 30-40 per cent lower than the contracted volumes to its long-term customers, including Gujarat Gas Company Ltd (GGCL) and Gujarat Paguthan Energy Corporation private Ltd (GPEC).

The joint venture operates two ageing fields – Lakshmi and Gauri – in Cambay. Average production from the two fields for the second-quarter of this fiscal was 13,498 barrels of oil equivalent, including average oil and condensate production of 4,261 barrels a day and average gas production of 55 mmscfd.

“We are facing problems in a particular well in Lakshmi field. This well is multi-zone completed well (meaning that the well is connected to different production zones) and is not performing as per our expectation. We will relocate the zones reporting to this well in next fortnight,” a Cairn official said.

According to him, this exercise will not require a drilling rig and will not involve substantial investment. “We are expecting this exercise to stabilise productions to the contracted volumes,” he said.

It may be mentioned that Cairn has supply commitments for the year substantially as both Lakshmi and Gauri fields are on a declining phase. A four well $100-110 million development drilling programme in the fields (three in Lakshmi and one in Gauri) is already finalised to arrest the trend.

“We are expecting the rig Offshore Courageous to report CB/OS-2 in September and drilling programme may be over between October and January,” the source said adding that the rig was already mobilised by the provider Scorpion Offshore.