Successful Oil Test in Rajasthan, India
2 February, 2004
N-B-1 Exploration Well, Block RJ-ON-90/1
Cairn announces that a cumulative flow rate of 6,000 barrels of oil per day has been achieved across three selected zones during an open hole drill stem test programme in the N-B-1 exploration well, which is currently operating in the northern Rajasthan Basin.
The well intersected a stacked sequence of twelve oil bearing reservoir units in the Fatehgarh formation. Three separate sand units were tested with the following stabilised rates:-
Zone 3 tested at 2,837 barrels of oil per day on a 96/64 inch choke.
Zone 2 tested at 1,925 barrels of oil per day on a 64/64 inch choke.
- Zone 1 tested at 1,240 barrels of oil per day on a 68/64 inch choke.
The tested oil has a specific gravity of approximately 24 to 29 degrees API and reservoir permeabilities are estimated to be between 500 milliDarcies and 3 Darcies.
The first appraisal well and additional seismic are planned to commence later this month.
Additional Exploration Activity
The following exploration wells are also currently operating:-
Well N-A-1 in Rajasthan commenced on 30 January.
- Well CB-X-1 in Gujarat commenced on 28 January.
Bill Gammell, Chief Executive, commented:
“This is a very strong test result and confirms our view that in isolation this discovery transforms the value of our portfolio. We expect this well to produce over 10,000 barrels of oil per day.”
Cairn Energy PLC
Bill Gammell, Chief Executive Tel: 0131 475 3000
Mike Watts, Exploration Director Tel: 0131 475 3000
Kevin Hart, Finance Director Tel: 0131 475 3000
Brunswick Group Limited:
Patrick Handley, Catherine Bertwistle, Mark Antelme Tel: 0207 404 5959
Notes to Editors:
“Cairn” where referred to in this release means Cairn Energy PLC and/or its subsidiaries, as appropriate.
Cairn is currently involved in an extensive exploration and appraisal programme across its 5,000 square kilometre onshore exploration block (RJ-ON-90/1) in the Rajasthan Basin.
Cairn holds a 100% interest in Block RJ-ON-90/1. Oil & Natural Gas Corporation Ltd (“ONGC”) has a right to 30% of any development area resulting from a commercial discovery on the block.
The main exploration play objectives encountered in the Rajasthan Basin, commencing with the stratigraphically youngest formation, are: Thumbli, Dharvi Dungar, Barmer Hill and Fatehgarh.
“API” where referred to in this release means American Petroleum Institute units as a measure of oil specific gravity.
“Darcies” where referred to in this release means an industry measure of permeability where permeability is the property of a porous medium and a measure of the medium’s capacity to transmit fluid.