Cairn Energy of UK will invest $1.33 billion in its Rajasthan oilfields to produce 1,25,000 barrels per day from mid-2007, an official said today.The British firm has proposed the $1.33 billion investment in Mangala, Bhagyan and Aishwaria fields to produce oil till 2040, V K Sibal, director general, hydrocarbons - government's upstream nodal agency, said."Cairn has submitted a development plan... Technically it is a very viable plan. We will approve the plan by the month end," he said.Plateau production would last 6-7 years, he said, adding the field had an upside production potential of 1,50,000 barrels per day.Cairn, which has established 136.34 million tonnes of in-place oil reserves in the ten discoveries in the Rajasthan block, will drill over 300 wells to bring the field to production.Four discoveries, namely, Mangala, Aishwariya, Araswati and Ragehswari, have been declared as commercial and the remaining finds are under appraisal.Recoverable reserves in Mangala, Bhagyan and Ishwariya fields are in excess of 500 million barrels of oil.State-owned ONGC has 30% interest in the fields. Independent assessments put total oil at the three Rajasthan fields at 1.64 billion barrels.
