Mumbai (Maharashtra) [India], May 15 (ANI): (ANI): Adani Welspun Exploration Ltd (AWEL) said on Saturday that preliminary analysis of data indicate that a block in NELP-VII area has high potential of gas commerciality.
Data shows gas initially inplace place (GIIP) contingent resources (2C) to the tune of 514 billion cubic feet (BCF) with additional prospective resources of 50 BCF, it said.
Additionally, seismic inversion, convential core and private studies of data collected from the discovery well are being analysed to assess full potential of the find.
AWEL holds 100 per cent participative interest and is the operator of the block MB-OSN-2005/2. Spread across 714.6 square km, it is located in the prolific gas-prone Tapti-Daman sector of Mumbai offshore basin where production is already underway by other operators.
The drilling of exploratory well in March struck substantial quantities of gas and condensate at three reservoir levels. The pay zones and flow rates encountered have exceeded AWEL's initial estimates, the company said.
AWEL was awarded the block under New Exploration Licensing Policy (NELP) VII bid round. Early indications pointed to occurrence of gas-bearing reservoirs within sandstone reservoirs of the Mahuva and Daman formations.
The drilling of current well confirmed presence of substantial quantities of gas and condensate in the block. Out of the three potential zones identified during drilling, two objects tested by drill stem testing flowed substantial gas and condensate to the surface.
"In addition to being value accretive for the company, this discovery could be a significant breakthrough for our nation, given India's focus to nearly triple the share of natural gas in its energy mix by the end of this decade," said AWEL Managing Director Sandeep Garg.
The company is also an operator with 100 per cent participative interest of an adjacent discovered small field B-9 cluster. "The proximity of these two prospective blocks will enable AWEL to synergise and optimise development of both the blocks," said Garg.
AWEL is a joint venture company between Adani Group and Welspun Group undertaking upstream oil and gas business. Adani Group holds 65 per cent through its flagship company Adani Enterprises while Welspun Group holds 35 per cent through its subsidiary Welspun Natural Resources.