Oil & Natural Gas: News & Discussion

Austin · Post by **Austin** » 01 Oct 2012 17:43

Gazprom Signs 20-Year LNG Supply Deal with India’s GAIL

“Under the terms of the agreement, GAIL will receive 2.5 million tons per annum of LNG (equivalent to approximately 3.5 bcm per annum) over a period of 20 years,” GM&TS said in a statement.

Under the contract, LNG will be sustainably priced with an oil-indexed formula and delivered to the Dahej, Dabhol and Kochi terminals in India.

“We are delighted to have signed this agreement with GAIL during a period of rising demand for LNG in India. We are looking forward to working together with GAIL to help meet India’s expanding gas demand whilst securing a long-term market for Russian gas,” Gazprom Marketing & Trading CEO Vitaly Vasiliev said.

Prem · Post by **Prem** » 09 Oct 2012 01:44

Reliance's key Indian gas fields may run out in 5 yrs-analysts

Ek Ambani saab hai, saath me fraud bhi hai

Oct 8 (Reuters) - Reliance Industries' key gas producing fields off India's east coast could be exhausted in five years, Morgan Stanley analysts said in a report.The researchers' findings are based on estimates by block D6 partner Niko Resources that total proved plus probable reserves at the block had decreased to 1.93 trillion cubic feet as of March 31.Canadian Niko has a 10 percent stake in the D6 block in the Krishna Godavari basin, while Reliance and BP, the operators, have 60 percent and 30 percent share respectively.The block was expected to contribute up to a quarter of the gas supply for Asia's third-largest economy, but its unforeseen decline in output has left India more dependent on expensive liquefied natural gas (LNG) imports.The gas output from the D6 block was projected to decline to 20 million standard cubic metres a day (mscmd) in 2014/15, less than half the 60 mscmd it produced in 2010 and well below planned peak capacity of 80 mscmd.Reliance has 10 other discoveries in the block that are yet to be developed
It has won approvals for the pre-development work and needs further regulatory approvals for development activities, the note said."We currently assume that D6 production will increase to 40 mscmd of gas in 2015/16 once these discoveries are developed," Morgan Stanley said.India's federal auditor had last year criticised the government as well as Reliance over development of the KG gas field, which has been beset by arguments over spending and strategy for its complex geology.No immediate comment was available from Reliance.

Austin · Post by **Austin** » 22 Oct 2012 21:19

This is big Total value of buy out of TNK-BP is $61 billion , Rosneft’s deal for an all-out purchase of TNK-BP would make it the world’s largest publicly traded oil company, with higher crude production than global energy titans Exxon Mobil and Royal Dutch Shell.

Rosneft to Buy 100% of TNK-BP

vera_k · Post by **vera_k** » 24 Oct 2012 09:24

Looks like the Saudis are being set up to get it from both ends, what with renewables, natural gas and now this one.

US might soon be world's top oil producer

gunjur · Post by **gunjur** » 29 Oct 2012 21:33

ONGC well in K-G block leaking gas; environment damage feared

The well G-1-9 in Bay of Bengal has been leaking gas since August-end and all efforts by ONGC to contain the flow have so far been futile

"This is a very old, drilled some eight or 10 years back. It wasn't producing till now and we had plans to put in on production sometime next year along with other gas finds in the area," a company official said.

Gurus, ^^^is this a standard procedure in O&G industry??

We have no idea how much gas (mostly methane) might have spilled but I suppose it must be at least one lakh cubic meters per day," the official said.

ONGC is developing G-1 field along with neighbouring GS-15. Both the fields are marginal or small finds. G-1-9 well was part of this development through which ONGC had planned to produce 2.7 million standard cubic meters of gas and 9,400 barrels of associated oil daily. G1 is a deepwater field and is located 20 km away from the shore. GS15 is a shallow water field. G1 was the first deepwater field to be developed by ONGC.

abhischekcc · Post by **abhischekcc** » 13 Nov 2012 22:53

A lot of oil wells that were not economical to operate are now economical because of the high oil prices. Which means that as long as oil prices are high, we will have plenty of oil - we just have to reach a new equilibrium rate.

Renewables will not play a major role in the energy equation, except hydro power, for a long time. That is why we need 4-5 super dams in India.

RajeshA · Post by **RajeshA** » 14 Nov 2012 15:50

Assessment of Potential Shale Gas Resources of the Bombay, Cauvery, and Krishna–Godavari Geologic Provinces, India, 2011: United State Geological Survey

USGS puts the potential at 6Tcf, where USA has between 500-2000 Tcf and China has 1,275 Tcf of shale gas.

Here is another view of this by a venture capital firm ICF.

Recent Published Assessments of India's Shale Gas Potential—Are They Realistic?

They are putting the estimates much higher.

Theo_Fidel · Post by **Theo_Fidel** » 14 Nov 2012 22:54

Not an expert here but from what I can read that was an assessment for 15 meter thick plays of roughly 1000 sqkm+ 2000 sqkm + 5000 sqkm.

Just the Cuddapah shale deposit is roughly 1,500 meters thick! Roughly 100 times this assessed thickness, though obviously not all that 1,500 meters will turn into production zones. The Cuddapah deposit alone is roughly 50,000 to 80,000 sqkm as well.

Still 15m thick assessment seems very conservative. This is obviously a very preliminary feasibility from limited drilling and data.

To my mind the real reason India’s numbers are so low is that we are 5-10 years behind China & USA in drilling and accessing our shale deposits. In terms of shale quantum we have as much as those two, need a intensive 5 year program for drilling and assessment.

Prem · Post by **Prem** » 15 Nov 2012 04:18

http://geology.com/articles/methane-hydrates/
This is what we need and HIndu Mahasage is full of it. Japani are much ahead in exploring this and soon will be able to commercially exploit this resource.

[quote]The Next Energy "Game Changer"?
As natural gas from shale becomes a global energy "game changer," oil and gas researchers are working to develop new technologies to produce natural gas from methane hydrate deposits. This research is important because methane hydrate deposits are believed to be a larger hydrocarbon resource than all of the world's oil, natural gas and coal resources combined. [1] If these deposits can be efficiently and economically developed, methane hydrate could become the next energy game changer. Enormous amounts of methane hydrate have been found beneath Arctic permafrost, beneath Antarctic ice and in sedimentary deposits along continental margins worldwide. In some parts of the world they are much closer to high-population areas than any natural gas field. These nearby deposits might allow countries that currently import natural gas to become self-sufficient. The current challenge is to inventory this resource and find safe, economical ways to develop it.
What is Methane Hydrate?
Methane hydrate is a crystalline solid that consists of a methane molecule surrounded by a cage of interlocking water molecules (see image at top right). Methane hydrate is an "ice" that only occurs naturally in subsurface deposits where temperature and pressure conditions are favorable for its formation. These conditions are illustrated in the phase diagram in the right column of this page.
If the ice is removed from this temperature/pressure environment it becomes unstable. For this reason methane hydrate deposits are difficult to study. They can not be drilled and cored for study like other subsurface materials because as they are brought to the surface the pressure is reduced and the temperature rises. This causes the ice to melt and the methane to escape. Several other names are commonly used for methane hydrate. These include: methane clathrate, hydromethane, methane ice, fire ice, natural gas hydrate, and gas hydrate. Most methane hydrate deposits also contain small amounts of other hydrocarbon hydrates. These include propane hydrate and ethane hydrate.
Where Are the Methane Hydrate Deposits?
Four Earth environments have the temperature and pressure conditions suitable for the formation and stability of methane hydrate. These are: 1) sediment and sedimentary rock units below Arctic permafrost; 2) sedimentary deposits along continental margins; 3) deep-water sediments of inland lakes and seas; and, 4) under Antarctic ice. [10]. With the exception of the Antarctic deposits, methane hydrate accumulations are not very deep below Earth's surface. In most situations the methane hydrate is within a few hundred meters of the sediment surface.
/quote]

Prem · Post by **Prem** » 15 Nov 2012 04:25

Gas hydrates: An inexhaustible energy source
http://www.thehindubusinessline.com/tod ... ef=archive

Haare is Old News. Maal is there around in Hindu Samundra equal to 14 Trillion Barrels of Oil. Research, Investement is the key to bring Satyug of Energy in india

Chennai, July 17 Deep below the seabed is an infinite source of energy waiting to be tapped.India is sitting on prognosticated gas hydrate resources of 1,894 trillion cubic metres, which is over 1,700 times as much as the proven natural gas reserves with the country — of 1.08 trillion cubic metres.To put the resource into perspective, India consumes 90 million standard cubic metres a day of natural gas. If the estimate of prognosticated gas hydrate reserves holds true, the energy source is infinite and can last several tens of thousands of years.For sure, the way of getting natural gas from gas hydrates — frozen methane — is unknown to science as yet. But crack the challenge, you have solved the country’s energy problem.Of course, ‘prognosticated reserves’ is an educated guess, but still there is little doubt that gas hydrates as a source of energy is very, very big — something that can permanently solve India’s energy problem.Indeed, much of this has been known to the Indian hydrocarbon sector for a number of years. But the recent developments in the decade-old National Gas Hydrate Programme (NGHP), while being nowhere near breakthrough, are encouraging.The recent conclusion of the first phase of NGHP led to the discovery of gas hydrate occurrences near the Andamans and in the Krishna-Godavari and Mahanadhi basins.In December, the NGHP will start collecting more seismic data, drill a few more holes and collect more samples of the iced gas. The exercise will lead to a closer estimate of how much natural gas is available in the hydrates.The real challenge begins then. “Nowhere in the world does the technology (for extracting gas out of hydrates) exist,” says Mr V. K. Sibal, Director General Hydrocarbons (DGH). “But we are confident of developing the technology.”
“Clearly, this is an area of technology leadership for India,” says Mr Jairam Ramesh, Union Minister of State for Power.“I don’t see it (gas from gas hydrates) coming in the next five years, but I am sure that in the next 10 years, it will be an important source of energy,” he told Business Line.According to the DGH, the delay in the programme taking off was because of “non availability of a suitable deepwater drill-ship with onboard laboratories and experienced staff.”

vishvak · Post by **vishvak** » 16 Nov 2012 18:00

It is high time the Govt. of India starts looking at all reserves as strategic and not be selective about it. The on-shore and off-shore reserves should be under 24-hour observation for manual as well as calibrated mechanical readings for resources considered as also under 24-hour armed protection.

In fact PMO should take a lead in making India as first choice for refining of products for processing reserves considering emerging economy can not behave as a shiekhdom of high wealth and little weight. It is obviously more important not just to refine crude and other raw materials but also distill/process all other by-products, which is part and parcel of the same situation and therefore equally important, that may be useful directly and indirectly.

By product of crude are hugely varied. Offering reserves to foreign players without considering this aspect would be short-sighted.

Also a much stronger protection force is necessary at on-shore and at off-shore sites. A strong defensive force is necessary at each such locations that is integrated under economic as well as strategic defense forces.

A well thought out strategic outlook at securing reserves has return of its own way. For a big country like India it is imperative to be earlier in all such respects than later for its effects will be strategic too.

Rishirishi · Post by **Rishirishi** » 16 Nov 2012 19:37

Even is all this GAS can be tapped, it would not be possible to use it due to global warming.

Prem · Post by **Prem** » 28 Nov 2012 01:05

http://news.yahoo.com/conocophillips-pl ... ector.html

ConocoPhillips to sell Kazakh stake for $5 billion to ONGC

Reuters) - ConocoPhillips is to sell its 8.4 percent stake in Kazakhstan oil field Kashagan for about $5 billion to Oil and Natural Gas Corp , a state-run Indian group looking to boost production.
Kashagan, the world's biggest oilfield discovery since 1968, holds an estimated 30 billion barrels of oil-in-place, of which 8 billion to 12 billion are potentially recoverable, with first production expected next year. Start-up of the field has been delayed since 2005 due to cost overruns and disputes with authorities over taxes.With ONGC's domestic output flat for years, India now buys nearly 80 percent of its oil needs and is the world's fourth-biggest oil importer.ConocoPhillips, which has been shedding overseas assets to cut debt and increase its investment in lower-cost domestic shale oil and gas, said on Monday the book value of assets related to its Kashagan interest was about $5.5 billion as of September 30, and it would take an after-tax impairment of about $400 million. The deal was expected to close in the first half of 2013.Fadel Gheit, oil analyst at Oppenheimer, said ConocoPhillips was cutting its losses by selling its stake."This project has been plagued by problems," said Gheit. "All along it was poorly handled. It is over budget and behind schedule."ONGC, India's fifth-biggest company by market value, has been investing to maintain output from its old fields and has capital spending plans of around 340 billion Indian rupees ($6.1 billion) this year and next. It is under pressure from the government to meet rising demand.With Indian state companies having often lost out to China in bidding for global energy assets, the Kashagan acquisition is the largest ever for ONGC. .It is also the biggest outbound deal from India since mobile phone operator Bharti Airtel bought mobile phone operations in Africa for $9 billion in 2010 from Kuwait-based Zain ONGC Videsh, the arm of ONGC that invests overseas, said the acquisition would likely add 1 million metric tons (20,000 barrels per day) to its annual production over 25 years, with its share of output significantly higher in later stages of development.ONGC Videsh's production in the year to March was 8.7 million metric tons.
The deal comes as India pushes to diversify crude supplies away from Iran, which used to provide about 12 percent of the country's 3.5 million bpd or so of imports before sales were hit by western sanctions aimed at curbing Iran's nuclear ambitions.It puts ONGC Videsh into what has been a fraught and expensive partnership between Kazakhstan and some of the world's biggest oil companies, which hope to use the departure of ConocoPhillips to gain greater operating control and extend their production-sharing agreements with the state beyond 2041.Kazakhstan, home to 3 percent of the world's recoverable oil reserves and the largest former Soviet oil producer after Russia, has sought to revise deals struck with foreign energy companies in the lean post-Soviet years.

member_19969 · Post by **member_19969** » 12 Dec 2012 18:22

The Shale gas Revolution in America: An Opportunity for India

Don · Post by **Don** » 14 Dec 2012 23:00

Jhujar wrote:http://news.yahoo.com/conocophillips-pl ... ector.html

ConocoPhillips to sell Kazakh stake for $5 billion to ONGC

Its a risky acquisition. Last one into the former Soviet Union did not go so well...

http://www.livemint.com/Industry/l9yyTA ... ition.html

ONGC wanted to retreat from Imperial buy

Firm had sent a govt delegation to London to voice its concern over the valuation of the acquired assets

Shubham Shivang & | Utpal Bhaskar

First Published: Tue, Oct 16 2012. 07 30 PM IST

Updated: Wed, Oct 17 2012. 01 17 AM IST

New D elhi: Even as Oil and Natural Gas Corp. Ltd (ONGC) is struggling with its acquisition of the UK’s Imperial Energy Corp. Plc., it now emerges that India’s biggest oil exploration company wanted to terminate the agreement.

The company even sent a government delegation to London to voice its concern over the valuation of the acquired assets to the UK regulators.

ONGC had paid $2.1 billion (around Rs.11,088 crore today) in 2009 in the company’s most expensive overseas acquisition to tap the UK-based explorer’s Siberian deposits as part of an effort to secure overseas energy assets and reduce the country’s dependence on imports.

“After the agreement was entered into by ONGC, the oil price dipped sharply. A question arose before the ONGC board, whether the deal can be dropped. While there was unanimity on exiting the deal, the board also understood that we couldn’t get out of it due to legal implications,” a person aware of the developments said, requesting anonymity.

Peak oil output from the Siberian fields was estimated at 80,000 barrels per day (bpd) by 2011 at the time of the purchase, which was lowered to 45,000 bpd, Mint reported on 17 June 2010.

The field is currently producing only around 15,000 bpd.

“We wanted to retreat on Imperial. So much so that a delegation was sent by the Indian government to London,” an ONGC executive said on condition of anonymity.

“The legal opinion sought by ONGC said that since Imperial was a listed entity, it couldn’t terminate the agreement. The UK regulators told the delegation that ONGC couldn’t get out of it from the legal standpoint. The decision to go ahead with the deal was taken after legal recourse offered no exit,” the person cited earlier said.

ONGC has decided not to invest additional money in Imperial Energy until it has a suitable strategy in place. Imperial’s main asset is its Siberian fields, with acreage of around 16,800 sq. km. Apart from the acquisition cost, ONGC has invested around $500 million in Imperial. It also set aside $408 million to cover the impairment of Imperial’s asset value in the last fiscal. A government official aware of India’s hesitancy to go ahead with the deal said, “While there was opposition within the government, it still went through. A delegation was sent to London to express our concerns.” He too declined to be named.

The Comptroller and Auditor General of India in 2011 criticized the acquisition of Imperial Energy. The government’s auditor said ONGC’s overseas unit had incurred a loss of Rs.1,182.14 crore between January 2009 and March 2010 due to its inability to achieve the estimated oil production of 35,000 bpd. The public auditor said ONGC’s “prediction for production levels was highly optimistic rather than realistic”.

“Some deals have larger geo-political rationale rather than just pure economics,” said an oil ministry functionary, requesting anonymity. The person declined to elaborate further.

India’s investments in the energy sector in Russia include a 20% stake in the Sakhalin-I hydrocarbon block through ONGC.

While a spokesperson for India’s ministry of external affairs didn’t respond to emailed queries, a second ONGC executive who also didn’t want to be identified said, “The deal had little to do with geology.”

Russian conglomerate Sistema JSFC has valued Imperial Energy’s assets at $500 million, a quarter of the sum ONGC paid to buy the explorer, Mint reported on 23 July. The low valuation has effectively stymied the proposed merger of Sistema’s units JSC Bashneft and OAO RussNeft with Imperial Energy. After the merger, ONGC was to acquire a 25% stake in the combined entity by divesting the UK explorer

Prem · Post by **Prem** » 08 Jan 2013 03:17

Gas at $8 May Lure Reliance to Start New India Fields
http://www.bloomberg.com/news/2013-01-0 ... ields.html

Reliance Industries Ltd. (RIL), sitting on untapped natural gas reserves off India’s east coast, will be able to generate profit from new fields if the government agrees to double prices, a person familiar with the matter said.At $8 per million British thermal units Reliance will earn a profit margin of about 15 percent from fuel trapped more than a mile deep in the newer pockets of KG-D6, said the person, who asked not to be identified, citing rules. While Reliance sells gas from the basin at a government-set price of $4.20, at least $7 is required to break even on the new wells, the person saidA higher price will make smaller discoveries more economical to start and go a long way toward lifting India’s production,” Oil & Natural Gas Corp. (ONGC) Chairman Sudhir Vasudeva said in an interview in New Delhi, where the company is based. “It’ll also bring in an environment of investment.”State-run ONGC, which found reserves adjacent to Reliance’s fields in the Bay of Bengal six years ago, has said deepwater drilling is unviable at current prices. Gujarat State Petroleum Corp., an explorer controlled by the Gujarat state government, is also developing a field in the area.While the three fields Reliance now operates in KG-D6 produce about 23 million cubic meters (812 million cubic feet) a day, the company’s discoveries around this area can add as much as 30 million cubic meters daily, the person said. ONGC in December 2006 said it discovered 2 trillion cubic feet of gas reserves in a block next to Reliance’s.The doubling of prices will make all of Reliance’s and ONGC’s deepwater discoveries viable,” Sharma said in an interview. “Higher prices will bring clarity and visibility and explorers will be clamoring to drill.”
Reliance’s selling price of KG-D6 gas comes up for revision in April next year. The company last month began drilling its first well in the KG-D6 block in more than a year.

kenop · Post by **kenop** » 23 Jan 2013 12:06

Why Has Saudi Arabia Cut Its Oil Output?

"Market speculation was rife that Saudi Arabia reduced supplies in a bid to set a new price target of $110/barrel," said the IEA.

IEA called this view shortsighted and reminded readers of the report that "Saudi Arabia has become its own single largest customer," referring to the over 3.1 million b/d consumed domestically in refineries, power plants – many of which direct-burn crude – and desalination plants.

This considerable domestic oil consumption increase was a major reason behind the Saudi Gas Initiative, designed to discover and produce non-associated gas in the Kingdom that would be used for power generation, thus freeing up valuable oil for export. The Saudis' non-associated gas ventures, though ongoing, have largely proved disappointing. This has contributed to the push towards developing renewable energy sources, including nuclear power.

Interesting times ahead if and when the Saudis are forced to be "self-sufficient" and not export oil.
There will be market for nuclear technology from Khan and ummah biratherj too

Klaus · Post by **Klaus** » 24 Jan 2013 08:56

Ackaringa Basin reserves in South Australia estimated at $20 trillion.

Brisbane company Linc Energy has released two reports estimating the amount of oil in the as yet untapped Arckaringa Basin surrounding Coober Pedy ranging from 3.5 billion to 233 billion barrels of oil

Report doesnt state whether there is export potential from this basin.

Klaus · Post by **Klaus** » 03 Feb 2013 10:12

Rosneft reports record annual profit after acquisition of TNK-BP local JV.

He particularly pointed to the progress Rosneft had made in moving beyond its traditional Siberian production base by striking offshore deals with firms such as the US super-giant ExxonMobil and Norway's Statoil.

The government had earlier on awarded Rosneft the right to explore 12 new fields in the Arctic previously eyed by private players such as Lukoil.

Sechin said on Thursday the TNK-BP deal would nearly double the company's oil production to 4.3 million barrels per day from 2.5 million barrels per day in 2012.

The deal with Itera has led to natural gas production climbing 25.1 per cent on the year.

The company's fourth-quarter profit shrank by 68.5 per cent because of the one-off difference with a third quarter in which Rosneft booked its Itera reserves and other gains.

Rosneft's 7.2-per cent rise in profit came in a year in which Russia recorded a post-Soviet oil production record

Sunilchurchill · Post by **Sunilchurchill** » 28 Feb 2013 05:44

Will not be surprised if the Barmer Basin identifes additional discoveries..this should be on the list of key areas to watch in 2013 ...and has a huge potential for further Oil discovery...

As noted in the article..

"Cairn is of the view that the Rajasthan block holds an in-place resource base of 7.3 billion barrels that can support 300,000 bpd of output"

http://www.thehindu.com/business/Indust ... 452193.ece

++++++++++++++++++++++++++++++++
Cairn India begins drilling of its Rajasthan block

Cairn India, on Monday, announced that it had started drilling of its first exploration well in the Rajasthan block that is predicted to boost the output from this asset to 215,000 barrels per day by March 2014.

In a statement issued here, Cairn India said a block oversight committee, headed by the Directorate-General of Hydrocarbons (DGH), on February 14, gave the go-ahead to the company to drill three wells to further explore new oil reserves in the area. “Following endorsement of the exploration work programme for the Rajasthan Block (RJ-ON-90/1) by the Management Committee less than two weeks ago, Cairn India has commenced drilling of the first exploration well, after a gap of more than four years, in the prolific Barmer Basin,” the statement added. Cairn at present produces 170,000-175,000 barrels per day (bpd) from the Rajasthan block and plans to finish 2013-14 with a production of 200,000-215,000 bpd from the block.

Cairn plans to drill 30 exploration wells by March 2014 and a similar number in the year thereafter.

In-place resrouce base

Cairn is of the view that the Rajasthan block holds an in-place resource base of 7.3 billion barrels that can support 300,000 bpd of output.

Sunilchurchill · Post by **Sunilchurchill** » 05 Mar 2013 17:51

Barmer region is area to be watched for O&G exploration...

http://profit.ndtv.com/news/corporates/ ... han-318995

Oil India Limited has reported a "significantly big" discovery in the Rajasthan field, sources told NDTV Profit on Tuesday. The discovery, christened as Punam-1, has been cleared as commercial by the Director General of Hydrocarbons, the sources added.

Shares in state-run Oil India, engaged in discovering and producing oil and gas, closed with over 3 per cent gains at Rs. 544.90 on the Bombay Stock Exchange. The stock was the top gainer on the BSE Oil and Gas index.

Oil India's discovery is reportedly close to Cairn India's Rajasthan oil block in which state-run Oil and Natural Gas Corporation (ONGC) is a junior partner. Output from the new discovery is likely to be 30,000 barrels per day, the sources said.

Where is Punam-1 = RJ-ONN-2004/2:

http://www.geoglobal.com/Investor-Relat ... fault.aspx

RJ-20 (RJ-ONN-2004/2)

On June 22, 2012, drilling operations were completed on the Punam-1 well located within the Exploration Block RJ-20. The well is currently being tested based on positive indications of oil- bearing formations within the targeted Bilara-Jodhpur reservoirs.

Drilling of the Punam-1 well commenced on May 7, 2012 and was drilled to a vertical depth of 1,297 meters to test the Bilara-Jodhpur reservoirs. Wireline logs were recorded in the 8.5-inch open hole section, which were then followed by wireline formation tests. These tests confirmed the presence of oil along with water within the Bilara-Jodhpur formations, between a depth of 1,227 - 1,249 meters. The operator, Oil India Limited ("OIL"), subsequently lowered a 5 1/2-inch casing and conducted a cased hole well test program in this well. The oil samples recovered from the wireline formation tests and conventional testing program have a density of 17-degree API.

The Punam-1 is the third well in a twelve well exploratory program for Block RJ-20. Based on this oil discovery, the consortium is pursuing a further extension of Exploration Phase-I to complete the minimum work program commitments on this block.

"We remain optimistic with what the Punam-1 well tests have yielded, and the potential implications they have for our exploratory program on the RJ-20 Block as a whole," said Mr. Paul B. Miller, President and CEO of GeoGlobal. "We are disappointed by the DGH's decision to not allow us to continue with the work program in the RJ-21 Block and in turn to call the performance bank guarantee for not completing the minimum work program. However, with the discovery in RJ-20, we hope to move forward with the exploratory program for Block RJ-20 and will apply for the appropriate extensions as required."

Prem · Post by **Prem** » 11 Mar 2013 08:09

Since Japani Bhais have now decided to start commercial production in 2018.

http://energy.usgs.gov/Miscellaneous/Ar ... on-01.aspx
India is working with USGS for similar exploration.

Results of the Indian National Gas Hydrate Program (NGHP) Expedition 01
In 2008 an international partnership led by the Directorate General of Hydrocarbons (DGH) under the Ministry of Petroleum and Natural Gas (Government of India) and the U.S. Geological Survey (USGS) released the results of the most complex and comprehensive gas hydrate field venture yet conducted. Upon the occasion of the Indian National Gas Hydrate Program Gas Hydrate Conference held February 6-8, 2008 in New Delhi, India, the leadership and participants in the Indian National Gas Hydrate Program (NGHP) Expedition 01 are pleased to release the results of the first modern, fully integrated gas hydrate research and exploration program conducted in the offshore of India.The amount of natural gas contained in the world's gas hydrate accumulations is enormous, but these estimates are speculative and range over three orders of magnitude from about 2,800 to 8,000,000 trillion cubic meters of gas. By comparison, conventional natural gas accumulations (reserves and technically recoverable undiscovered resources) for the world are estimated at approximately 440 trillion cubic meters as reported in the USGS World Petroleum Assessment 2000 (http://pubs.usgs.gov/dds/dds-060/). Gas recovery from hydrates is hindered because the gas is in a solid form and because hydrates commonly occur in remote Arctic and deep marine environments. Proposed methods of gas recovery from hydrates generally deal with dissociating gas hydrates in situ by heating the reservoir beyond the temperature of gas hydrate formation, or decreasing the reservoir pressure below hydrate equilibrium. The pace of gas hydrate energy characterization and assessment projects has accelerated over the past several years. Researchers have long speculated that gas hydrates could eventually be a commercial resource yet technical and economic hurdles have historically made gas hydrate development a distant goal rather than a near-term possibility. This view began to change with the realization that this unconventional resource could be developed in conjunction with conventional gas fields.NGHP Expedition 01 has shown that conventional sand and fractured-clay reservoirs are the primary emerging targets for gas hydrate production in India. Because conventional marine exploration and production technologies favor the sand-dominated gas hydrate reservoirs, investigation of sand reservoirs will likely have a higher near-term priority in the NGHP program. It is perceived that the NGHP effort will likely include future seismic studies, drilling, coring, and field production testing. It has been concluded that Site 10 represents a world class shale dominated fracture gas hydrate reservoir, worthy of further investigation. NGHP Expedition 01 also discovered significant sand and silt dominated gas hydrate reservoirs. It has been proposed that in a 2012-2013 time-frame, NGHP Expedition 02 may be constituted to drill and log several of the most promising gas hydrate sand-dominated prospects

Prem · Post by **Prem** » 11 Mar 2013 08:12

Bharat is lucky and have the thickest layer.

Austin · Post by **Austin** » 31 Mar 2013 20:55

Shale gas industry is 'a bubble' – Gazprom CEO

Alexey Miller, CEO of Gazprom, believes that the extraction of shale gas in the US is unprofitable and that the American shale gas industry “is not a competitor” for the Russian energy company.

In an interview for the state owned Rossiya 24 TV channel, Miller stressed that “currently, there aren’t any projects that we know of where shale gas production would be profitable”. He also pointed out that the US remains a country with a gas deficit and that the increase in volume of shale gas production corresponds with the dip conventional in natural gas extraction on US territory.

Gazprom CEO believes that the development of shale gas production in the US poses “no risks” for the Russian company and that the reason behind the increase in shale gas production is the desire for “energy security”. If Alexey Miller is correct in his view on the shale gas industry, then it can be inferred that for the US government the economic and financial considerations are secondary to the goal of having a reliable energy source on the US territory. Shale gas extraction can help the US get rid of the dependence on the energy delivered from the Middle East, but can’t help the American companies compete with Gazprom on the European market.

A number of experts believe that the shale market “revolution” is actually a bubble created on Wall Street in order to fool unsuspecting investors. Alexey Miller shares this view. “We are skeptical about shale gas… this soap bubble will burst soon”, he explained. The opinion expressed by Gazprom CEO is echoed by Vagit Alekperov, President of Lukoil. “Of course, it is a great achievement on the part of US engineers that America is now producing oil and gas from shale. In order to do it, they had to drill very tricky wells and do hydraulic fracturing. Undoubtedly, this is an achievement, but I wouldn’t call it a revolution” he told RT. This view is supported by a number of Western experts. In a recent report published by Bloomberg New Energy Finance, the possibility of a “shale gas revolution” in the UK was described as “wishful thinking”. Despite the successes of the shale gas industry in the US, the future of the European energy market is still dependent on conventional gas producers like Gazprom.

Bade · Post by **Bade** » 31 Mar 2013 21:03

Kochi-Mangalore gas pipeline turning into mirage

The Tamil Nadu government's decision to not allow GAIL to run its Kochi-Bangalore natural gas pipeline across agricultural lands in the state will hamper the prospects of the 5 million tonne per annum LNG terminal at Puthuvype near here.

Tamil Nadu Chief Minister J Jayalalitha's statement in the Assembly has left the terminal in the doldrums. The terminal is ready to receive natural gas from December onwards. Petronet LNG, which built the terminal, had earlier decided to commission the project in 2012 itself. But, it had not yet taken a final call due to the various issues that cropped up over the inter-state pipeline. It is a pre-condition for the terminal as it has to supply LNG without hindrance, once it commences operation.

The slow pace of the pipeline-laying work and delays in entering marketing tie-ups for the sale of gas had already delayed the commissioning of the terminal. The company had planned to commission the project in 2012, later slated for February/ March this year. Phase II of the pipeline project, to Mangalore and Bangalore, which involves an investment of Rs 3,400 crore is now held up. Some 505 km of this pipeline passes through Kerala, 310 km through Tamil Nadu and 85 km through Karnataka.

Only 43 km-long pipeline of Phase I of the project, connecting Puthuvype to Kalamassery has been commissioned so far. This can connect Eloor and Ambalamugal industrial belt of Kerala to the terminal. Also, the work on the pipeline connecting the Kayamkulam Thermal Power station has been slowed down for various reasons. A major part of this line is on the sea bed. So, the confusion and the slow pace in laying the pipeline in phase 2 of the project will hamper the prospects of the Kochi LNG terminal which is the second such terminal in the country after Dahej in Gujarat.

GAIL sources told Business Standard that the major beneficiary of the Kochi - Bangalore pipeline is the industrial units in Tamil Nadu. The line was supposed to pass through the industrial corridor of the state, connecting Coimbatore, Tirupur, Salem, Dharmapuri, Erode, Namakkal and Krishnagiri. Almost 50 per cent of the LNG transported through this line could be used by the industrial units in these centres, he said.

member_20036 · Post by **member_20036** » 10 Apr 2013 13:44

Barmer spouts oil for Cairn, again

m.thehindubusinessline.com/companies/barmer-spouts-oil-for-cairn-again/article4597675.ece/

Cairn India has struck fresh oil in the Barmer Block in Rajasthan.
The company has made its 26th discovery in the RJ-ON-90/1 block, following a recent policy clarification by the Centre allowing exploration in development blocks,said P. Elango, CEO Cairn India and Member of the Board, said.
“This discovery reaffirms our belief that an aggressive exploration drilling programme will help harness the full potential of the Barmer Basin in Rajasthan.
“However, it is too early to assess the volumes of oil in place. The potential resource base associated with this discovery is under evaluation,” he said.
The Cairn India stock, after hitting aday’s high of Rs 296.15 on the BSE, closed at Rs 290.65
The Management Committee approved exploration work at the RJ-ON-90/1 block on February 14, after which Cairn India, the operator of the block, commenced the drilling of its first exploration well, Raageshwari-South-1, locatedin the southern part of the block, on February 25.
Technical evaluations indicate approximately 10 m of gross oil column within Dharvi Dungar Formation. Oil has been discovered and tested for the first time in Dharvi Dungar sands in Raageshwari-Tukaram area, whereprevious discoveries were in the shallower Thumbli sands, Elango said. Cairn is keen to explore the surrendered area of the block, as it finds the Barmer region capable of more output.
The company is in dialogue with the Petroleum Ministry on the matter.
Govt approval
This assessment of Cairn is based on the comprehensive review of the block’s resource potential undertaken by the joint venture — Cairn India and ONGC. Cairn holds 70 per cent in the block and ONGC remaining 30 per cent.
However, Government approval is required to tap more oil as it wouldmean exploring that area of the block, which the joint venture has relinquished, according to the exploration norms.
The logic behind seeking approval for re-exploration is that at the time of surrendering it, no one knew its potential.
Almost two-third the area of the Rajasthan block — RJ-ONN 90/1 — has been relinquished.
Today, the joint venture has 3,111 sq. km area of the block.
More crude oil would mean reducing dependence on imports. Following a comprehensive review,the Rajasthan block’s resource potential was estimated at 7.3 billion barrels equivalent (oil and gas) gross in-place from the currentarea, up from 3.1 billion barrels of oil equivalent.
The first estimate of the area had showed a resource potential of 2.5 billion barrels of oil equivalent gross in-place.
Currently, the joint venture produces over 175,000 barrels a day from the Rajasthan block and wants to end the fiscal 2013-14 at a production rate of 2,00,000-2,15,000 barrels a day.
Given the new evaluations of the existing area, the total resource base now provides a basin potential to produce 300,000 barrels a day.
This is equivalent to approximately40 per cent of the country’s current crude oil production.

Prem · Post by **Prem** » 11 Apr 2013 08:54

http://www.bloomberg.com/news/2013-03-3 ... india.html
Fracking Debut Nears in Boost to Reliance, ONGC: Corporate India
( Sooner the Better: lets Hope No EJ etc Show Up for Cut)

India will allow explorers including Oil & Natural Gas Corp. (ONGC) and Reliance Industries Ltd. (RIL) to produce shale oil and gas for the first time as Asia’s second-biggest energy consumer seeks to cut reliance on imports.Under a new policy aimed at boosting domestic output of fossil fuels, companies will be allowed to extract oil and gas from shale rocks in more than 250 blocks the government has already given out, said Vivek Rae, the top civil servant in the oil ministry. The new rules will allow ONGC, the nation’s biggest, to start shale output almost immediately and in “substantial quantity” in about three years, Chairman Sudhir Vasudeva said.The technology that requires drillers to smash rocks forcing millions of gallons of water and chemicals through cracks may help Prime Minister Manmohan Singh meet his goal of slashing the energy import bill by 50 percent in seven years and to zero by 2030, even as global regulators assess pollution risks from hydraulic fracturing, or fracking.“We want to get the process started, to enable companies to at least start producing from fields where they’re already drilling for conventional oil and gas,” Oil Secretary Rae said in an interview. “This is the first phase, and we’ll later open up more areas.”
India holds 6.1 trillion cubic feet of technically recoverable shale gas reserves in three basins, the U.S. Geological Survey estimated in a report in January last year. That was less than 10 percent of the 63 trillion cubic feet estimate made the previous year, by the U.S. Energy Information Administration in a report.“The USGS study was limited to three basins in India and the real potential is probably higher than that,” Vasudeva said. “We are in the process of examining and validating them.”ONGC found shale gas at a well in India’s West Bengal state, according to a Jan. 27, 2011, statement. The company signed an agreement with ConocoPhillips (COP) in March last year for developing shale resources in India and North America.

RamaY · Post by **RamaY** » 12 Apr 2013 19:41

Shale gas industry is 'a bubble' – Gazprom CEO
+1

Fracking Debut Nears in Boost to Reliance, ONGC: Corporate India ( Sooner the Better: lets Hope No EJ etc Show Up for Cut)

The media is going ga-gaa over this news as if Shale Gas and Methane Hydrates are going to be commercially available in a month or so. The telugu news papers yesterday have a front page articles on this and start showing AP as a electricity exporter in a day or two.

This is nothing but fooling the public, UNLESS there is a focused implementation of policy, technology and infrastructure.

We have seen similar Orgasmic-Media coverage 3-5 years ago on Solar Energy Policy. The target was to have 20,000 MW in the past+current 5 yr plan (that ends in 2017 IIRC). How close are we to that?

Prem · Post by **Prem** » 13 Apr 2013 00:19

RamaYa
Our Oil (OWL) Minister have made claim to bring forth the GOI policy in few weeks for exploiting Shale as MMS have issued Farman to implement it on the Double. Regardless of GOI shenanigans, as long as we can identify the lilla fraction of reserves good for exploitation , it will have huge impact on energy security, balancing .

Theo_Fidel · Post by **Theo_Fidel** » 13 Apr 2013 01:19

RamaY wrote:We have seen similar Orgasmic-Media coverage 3-5 years ago on Solar Energy Policy. The target was to have 20,000 MW in the past+current 5 yr plan (that ends in 2017 IIRC). How close are we to that?

OT but...
Assuming you are referring to JNNUSM.
The Target for 2022 is 20,000 MW.
The target for 2017 is 5000 MW.
Even more limited target for Phase 1 Batch 1 in 2013 was 150 MW for PV & 470MW for CSP.
Pahse 1 Batch 2 was 350 MW of pv set for 2014.

Much of the PV is already in place. Only one 5mw project did not get financial closure all others were funded.
The CSP was a question since it new technology for India, but favorable rates mean much of it is coming online.

As long as the PSU's own the prime acreage we will struggle to find gas and oil. The 2 big finds of the past years KG basin and Barmer were from the sliver the private folks managed to pry out of grasping hands of the PSU's. It may come as a surprise but 90% of the acreage onshore/offshore and in and around Barmer is held by the PSU folks. How many discoveries have they reported recently?

RamaY · Post by **RamaY** » 13 Apr 2013 01:20

Like Ramanaji said w.r.t defense academy, the Moorkh Minority Slave is doing nothing but announce and 'start' such projects which will get neither funds nor implementation focus during this termite term.

RamaY · Post by **RamaY** » 13 Apr 2013 01:22

Theoji

I could get only PhaseI info from wiki

Phase 1
The first phase of this mission aims to commission 1000MW of grid-connected solar power projects by 2013. The implementation of this phase is in hands of a subsidiary of National Thermal Power Corporation, the largest power producer in India. The subsidiary, NTPC Vidyut Vyapar Nigam Ltd (NVVN),[4] laid out guidelines for selection of developers for commissioning grid connected solar power projects in India. See JNNSM Phase 1 Guidelines. While NVVN is the public face of this phase, several other departments and ministries will play a significant role in formulating guidelines. NVVN will sign power purchase agreements with the developers. Since NVVN is not a utility, it will sell purchased power to different state utilities via separate agreements.

Theo_Fidel · Post by **Theo_Fidel** » 13 Apr 2013 01:29

That is out dated info. Much has happened since then....

vipins · Post by **vipins** » 24 Apr 2013 23:53

1.2 cr multiple LPG connections weeded out

The public sector oil marketing companies have succeeded in blocking a significant number of multiple LPG connections in the last six months. Of the just over 14 crore cooking gas connections in the country, 10-15 per cent were multiple connections held by a single customer, distributors say.

These connections have been blocked through the Know Your Customer (KYC) scheme, which was meant to help the OMCs identify those with more than one connection. As on April 1, the OMCs had successfully verified almost 75 per cent of such customers.

kish · Post by **kish** » 28 Apr 2013 02:03

Fearing Iran entry, US congressmen favour export of natural gas to India

Top American lawmakers have strongly favoured export of US natural gas to India, in the absence of which, they said, the energy starved nation might be forced to join the Iran-Pakistan gas pipeline.

During a Congressional hearing on export of US natural gas, the lawmakers argued that it is in the national security interest of the US to export the excess natural gas to its allies like India and Japan and also to its European allies so as to reduce their dependence on Russian gas.

"Without US natural gas, the Indians might have to participate in the Iran-Pakistan gas pipeline. We have given the Indians a reasonable alternative. We should use it,"

Congressman Ted Poe said.

Congressman Brad Sherman said it was in national security interests of the US to provide secure natural gas supplies to its allies and to prevent India from turning to Iran for a natural gas pipeline

Indian Ambassador to the US Nirupama Rao, in an editorial in The Wall Street Journal this month had said that export of US natural gas to India "would provide a steady, reliable supply of clean energy that would help reduce India's crude oil imports from the Middle East and provide reliable energy to India"

"They made it real simple for me that the cost of their production and transportation in India is higher than it would cost for us to produce it in the United States, transport it, make a profit, and they're still getting a good deal in India(Is it True?) ," he said.

Michael Levi, director, Program on Energy Security and Climate Change, Council on Foreign Relations, which is an American think-tank, said exporting US natural gas to India would help the United States politically.

Indian Ambassador to the US, is doing a good job.

Prem · Post by **Prem** » 28 Apr 2013 06:14

kish wrote:Fearing Iran entry, US congressmen favour export of natural gas to India
Indian Ambassador to the US Nirupama Rao, in an editorial in he Wall Street Journal this month had said that export of US natural gas to India "would provide a steady, reliable supply of clean energy that would help reduce India's crude oil imports from the Middle East and provide reliable energy to India""They made it real simple for me that the cost of their production and transportation in India is higher than it would cost for us to produce it in the United States, transport it, make a profit, and they're still getting a good deal in India(Is it True?) ," he said.

It is true. Its cheaper to buy and transport all the way to India than get it from Iran or Qatar. Question is to go Via Pacifci or Atlanatic route. US gas supoly can alos be used as levearge to bargain with our good ME islamic neighabhoring countries.

Neshant · Post by **Neshant** » 28 Apr 2013 06:40

gas prices in the US are rock bottom due to fracking which has boosted reserves to historic levels.

there's too much of it.

by contrast natural gas prices are sky high in Europe.

vishvak · Post by **vishvak** » 28 Apr 2013 09:16

Shouldn't import be in a basket mix to hedge against risk and not country specific? That is basic economics.

India's tricky position..

Check the graphic too

Why should outlook of India be Iran or USA/Saudi specific?

RamaY · Post by **RamaY** » 07 May 2013 23:04

Shale Gas is nothing but Gas w.r.t India - Sakshi News Paper

* Each shale well will require 50Lakh gallons (2 Crore Liters) in its life time (20-30 years)
* Sea water cannot be used. So we need such level of fresh water resources
* They use 90% water, 9.5% sand and 0.5% chemicals
* only 30-70% of these dangerous chemicals can be taken out
* These chemicals are cancer causing and if left outside they will contaminate water and air

svinayak · Post by **svinayak** » 08 May 2013 02:47

Jhujar wrote: It is true. Its cheaper to buy and transport all the way to India than get it from Iran or Qatar. Question is to go Via Pacifci or Atlanatic route. US gas supoly can alos be used as levearge to bargain with our good ME islamic neighabhoring countries.

It should be both Pacifci or Atlanatic route. It will be India SLOC and Indian navy will be responsible for the security and will have alliance with all the friendly maritime countries.