GSPC strikes oil at Anand

Recoverable reserves pegged at five to seven million barrels

State public sector undertaking Gujarat State Petroleum Corporation Ltd (GSPC) has struck oil at Tarapur in Anand district. The well spewed oil last month itself.

Addressing the Gujarat legislative assembly on Friday, chief minister Narendra Modi said, "I am glad to inform that GSPC has struck oil at the first exploration well in village Mitrampura, near Tarapur, in Anand district on February 7. The initial recoverable reserves is in order of five to seven million barrels with a market value of Rs 1250 crore."

The chief minister added that the Tarapur well number 1 was drilled upto the depth of 2,250 metre. During the digging, various prospective zones for hydrocarbons were identified.

"While carrying out digging, good quality oil was struck first at a depth of 1,490 metre and it is estimated that from 1,490 metre to 1,500 metre may contain considerable quantity of crude oil of good quality," he said.

"Experts are of the opinion that there is a probability of more crude oil discovery if the well is deepened further. GSPC has plans to drill three to four new wells in the vicinity of Tarapur well number one. The final figure of the reserves will be only known after detailed technical analysis by experts," the chief minister said.

Gujarat State Petroleum Corporation (GSPC) has discovered oil in the Tarapur oil and gas exploration block for which a production sharing contract (PSC) was signed on April 12, 2000. The Tarapur block measures 1,618 square km for which GSPC is the operator.

It may be said that many years ago, ONGC had given up this block after failing to strike oil. During the phase-I work, GSPC had carried out extensive geological work including acquisition of 3D seismic data and interpretation systems.

At the end of the phase-I, which expired on November 24, 2003, Hindustan Oil Exploration Company (HOEC), a 50 per cent partner, decided to withdraw from the Tarapur PSC, considering the block unviable for exploration. However, GSPC continued to pursue exploration activity.

The chief minister stated that Gujarat has established itself as the petrocapital of India. Commissioning of two major LNG terminals, Asia's biggest petroleum refinery, as well as country's largest gas grid pipeline network in the state has placed Gujarat in a leading position in the hydrocarbon sector, he said.

A few months ago, GSPC struck oil in the Dholka exploration block.

GSPC managing director D J Pandian said that commercial production is expected to begin in six months to one year from now.

"We will be drilling three-four new wells in the vicinity and the estimated reserves of oil is likely to go up higher than the present estimate of five million to seven million barrels," he said.