The Hindu Business Line : Cairn India facing rig hurdle at Ravva field

While the impending situation makes fresh chartering a relatively costly proposition, Cairn is now planning to explore options like rig sharing with other operators – ONGC or GSPC – and also exploring hydrocarbon in KG basin in the east or redeployment of Offshore Courageous which will be reporting to Cairn operated CB/OS-2 in Cambay basin on the west coast shortly.

Both the options are, however, easier said than done and may have a bearing on the project cost and time schedule.

Cairn had earlier planned a $150-180 million (Rs 600–720 crore) campaign to drill 6-7 infill wells and two exploration wells in Ravva joint venture.

While infill wells are for greater recovery of oil from the existing reservoir, the exploration wells were planned for reserve accretion. A rig was also hired for the purpose.

The first phase of the programme costing $70 million and involving drilling of four injectors and one exploration well is already over.

The exploration well did not test commercially viable oil and gas.

While the drilling of two to three more infill wells are progressing as per schedule, the company found the prospect (L-0110) located 3,000 metres under the sea bed a bit too complex a proposition for Hercules.

“As things stand, we may either try redirecting Offshore Courageous to Ravva once the contracted job at Cambay is over tentatively in January-February. Alternatively, we may seek help of other operators in the area,” a company source told Business Line.

Redirecting Offshore Courageous, however, may require fresh negotiation with the provider and given the global tightness in the rig market, it might not be a cakewalk.