Natural Gas Essar Oil Receives Phase III Environmental Clearance for Raniganj Gas Field
Essar Oil has been granted phase III environmental clearance for its coal bed methane (CBM) gas field at Raniganj, West Bengal, allowing it to increase drilling to 650 wells.
Mumbai/India – This environmental clearance allows the full field development of the Raniganj block, excluding forest area, and will enable Essar Oil to increase production to the targeted level of around 3 million standard cubic metres of gas per day (scmd), up from around 60,000 scmd currently. So far, 135 wells have been drilled at Raniganj, of which 57 are in production. The drilling programme will now be accelerated.
The phase III approval was granted by the Government of India’s Ministry of Environment and Forests. Raniganj, in which Essar Oil has a 100 per cent interest, is a 500km2 block with total proven and probable reserves (2P), independently evaluated by consultants Netherland, Sewell and Associates Inc, of 113 billion cubic feet (bcf) gross (3.2 billion cubic metres), or 18.8 million barrels of oil equivalent. There are also best estimate contingent resources (2C) of 445bcf gross, or 74.1 mmboe and 297 bcf gross, or 49mmboe, of current best estimate prospective resources.