Essar Oil & Gas to invest $100m in West Bengal’s CBM block

Essar Oil and Gas Exploration & Production (EOGEPL) is readying to put $100m (Rs9.15bn) successful a caller drilling inaugural astatine its Raniganj East ember furniture methane (CBM) artifact successful the Indian authorities of West Bengal, reported the Economic Times.

EOGEPL is the upstream part of Essar Group.

With the investment, the institution aims to heighten earthy state accumulation from this block, presently the largest CBM-producing tract successful India.

The drilling programme, which represents the adjacent signifier of improvement astatine Raniganj East, aims to present aviator projects for horizontal CBM wells.

Raniganj East is believed to person astir 4 trillion cubic feet of in-place CBM resources.

With existing infrastructure susceptible of handling up to 3 cardinal modular cubic metres per time (mscm/d) of gas, the caller concern volition assistance grow accumulation capacity.

In summation to CBM exploration, EOGEPL is assessing the imaginable for shale state extraction wrong the Raniganj area.

EOGEPL CEO Pankaj Kalra said: “Till date, EOGEPL has invested implicit Rs60bn successful processing the Raniganj East CBM block, including the drilling of 454 wells and the operation of much than 350km of pipeline infrastructure.

“Over the past fewer years, the institution has spent an further Rs6bn to drill astir 100 wells, each of which are present connected production.”

Technical studies conducted with IIT Bombay and the University of Utah person identified hydrocarbons and favourable geo-mechanical conditions conducive for shale state development.

India's thrust for accrued home state accumulation aims to alteration dependency connected imports portion promoting metropolis state networks and concern usage.

Efforts are peculiarly focused connected coal-rich regions similar Raniganj owed to their established infrastructure and proximity to request centres.

Kalra added: “The institution has outlined plans to summation accumulation to astir 5mscm/d by 2028, driven by a operation of incremental CBM drilling, improved betterment techniques and imaginable shale development.”

In January 2024, Essar Oil UK, a portion of Essar, partnered with Elessent Clean Technologies to make its EET concern c seizure installation astatine Stanlow, UK.

"Essar Oil & Gas to put $100m successful West Bengal’s CBM block" was primitively created and published by Offshore Technology, a GlobalData owned brand.

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