GSPC to Drill Cambay Basin Before End of Month

State-run Gujarat State Petroleum Corporation (GSPC) has announced it will commence horizontal drilling of the onshore Cambay-76 well in Gujarat this month.

"Cambay-76H well at Cambay Field near Khambat will be spudded this month using proven horizontal drilling multi-stage fracturing technology of Canada for enhanced output and production," a top GSPC official said.

It is a 'tight reservoir' where vertical drilling will not fetch expected production levels, so for the first time we have opted for this unique horizontal drilling process to exploit the reserves, he said.

GSPC is optimistic about striking more gas in Cambay basin, after evaluating well drilled in the region, but is waiting for policy guidelines.  The exploration and subsequent drilling of the well is likely to take approximately 35 days. A two-month production test will then be conducted, the official said.

Cambay Field is a joint venture between GSPC and Australia-based Oilex, where the former holds 55% stake and the latter 45%.

The reserves from the basin are subject to certification, a GSPC official said adding that a US-based international reserve certifying agency, Netherlands Sewell Associates Inc (NSAI) will certify the reserves.

The Cambay Field contract area has considerable oil and gas resources. The field operator intends to further evaluate and exploit these through proven North American tight gas and 'shale gas' technology, including horizontal drilling and fracture stimulation, the official added.

Source: Business Standard