Cairn India focus is on finding partners for oil & gas blocks: Sudhir Mathur
The idea is to increase reserves by 400 million barrels and peak production by 100-125 thousand barrels.
Cairn India has been talking about significantly ramping up oil and gas production from its blocks in Rajasthan. What is the current status of it as of now?
We started on a $3.2 billion dollar programme about eight or nine months ago. It is in full swing now in various areas. One was on the tight oil part, one is on the gas part and also on enhanced recovery, which require significant amount of technology. All the work has started now.
The contracts were being given out during the course of the year. Work is in full swing. And you could see increase in production from April onwards.
What will be your key business focus area for FY20?
Well, it is getting these projects executed because these are significant projects, totalling up to $3.2 billion. The idea is to increase reserves by 400 million barrels and peak production from these projects by 100-125 thousand barrels. That is our focus, number one.
Second is to find the right vendor partners for our blocks that we have won in OALP so that we can hit the ground running on that. We have been engaged in discussions for the last four or five months with potential partners from across the world and we do expect to sign these contracts in the next 2-3 months and then start the seismic activity and find the prospects which we want to drill.
What sort of volume growth can we expect in the next financial year?
Well, you know, we are going to give our guidance out in April, which will be a lot more precise. You have to have patience.
How many blocks will you be bidding for in the OALP third round?
Difficult to say, but it is great to see these blocks come out. What will determine the number of blocks is of course the prospects of the blocks and how synergistic they are with our existing blocks.