Prize Petro to start production in Nov

Hydrocarbon Resources Development and Prize Petroleum will start crude oil production of about 5,000-6,000 barrels a day from its Sanganpur field in Gujarat in November. The field has recoverable reserve of 15 million barrels.

Prize recently acquired 50 per cent holding in the field. It had bought 49 per cent participatory interest in the field from Hardy Exploration and Production and 1 per cent from Hydrocarbon Resource Development.

The field is being operated by Hydrocarbon Resources Development, which was formed in 1987 by a group of petroleum engineers.

The other partner Prize is a joint venture of Hindustan Petroleum, ICICI Ltd, HDFC Ltd and ICICI Ventures. The field was producing 38-48 api gravity with high wax content, Prize Petroleum chief executive offer MN Prasad told Business Standard. The Sanganpur field contains 15 million barrels recoverable reserves.

"Small test quantity of crude is already being taken to Indian Oil Corporation's Koyali refinery," he said. The crude is transported through tankers to Ahemdabad and Mehsana from where it is piped to Koyali.

Prasad said the company currently holds participating interests in Hirapur, West Bechraji, Khambel which are marginal fields. He said Prize was also looking out for oil and gas properties abroad consisting of acquisition of discovered fields/producing fields through bidding.

The Sangapur field is situated in the Cambay basin which is considered one of the most prospective sedimentary basin. It has more than 90 oil and gas fields of which Ankleshwar and Gandhar are giant fields.

It is estimated that the total hydrocarbon resources in the field are about 2,050 million tonne and established in-place reserves are more than 1314 mt.

The government has offered three blocks comprising two onland and one offshore block in the Cambay basin in the fifth round of New Exploration Licensing Policy.