Cairn strikes more gas in Rajasthan

Cairn Energy Plc has made a new gas discovery with the Raageshwari-5 well, currently operating 75 km south of Mangala, in the southern part of the Rajasthan basin.

According to a release on the company website, "this gas discovery is in a conventional reservoir in the Fategarh formation whereas the previously encountered Raageshwari gas has been in non-conventional volcanic reservoirs. The well, which has been drilled to a depth of around 3,000 metres, will be tested once drilling operations are completed."

An appraisal well will be required to determine the reservoir extent, and size of the gas column before a volumetric assessment of the new Raageshwari discovery can be made, the release added.

Chief executive Bill Gammell, who was quoted in the release, said:
"The initial evaluation of the Raageshwari Fategargh gas discovery is encouraging, but further evaluation and appraisal work will be required before understanding its full significance."

Cairn has also secured a further 856 square kilometres extension to its existing acreage in Rajasthan. The extension runs until the middle of May 2005.

"Cairn will immediately conduct a seismic survey and drilling in the area once it has received all the necessary permissions from the Rajasthan government," the release said.