Looking beyond Rajasthan, Cairn India on Monday said there were greater prospects in its oil and gas producing fields in Ravva in the east coast. Cairn has planned more exploratory drilling in the first half of 2013-14 in the region.
Current gas output from this Krishna Godavari Basin fields is 42 million standard cubic feet per day. The company, however, did not quantify the prospects.
“A comprehensive review of the resource potential in the block was carried out by the company and based on Cairn India’s assessment, Rajasthan potential resource for the block is now estimated at 7.3 billion barrels of oil equivalent in-place,” said P. Elango, Interim CEO, Cairn India.
This is primarily due to an increase in the exploration upside with the prospective resource base now estimated at 3.1 billion barrels of oil equivalent (boe) from an earlier estimate of 2.5 billion boe in place.
The Rajasthan recoverable prospective resource increased from 250 million barrels equivalent to 530 million barrels of oil equivalent on a risked basis, primarily due to generation of additional leads and prospects.
Financial performance
Despite being hit by forex losses, Cairn India (consolidated) clocked a net profit of Rs 2,322 crore during the second quarter of this fiscal, up 204 per cent against the same quarter last year. It reported a foreign exchange loss of Rs 786 crore during the quarter against a gain of Rs 866.3 crore in the same period last fiscal.
The company board has decided to meet on October 31 to consider the payment of interim dividend.