Gas leaks have been reported at the Gujarat's Hazira gas field, giving rise to fear of a blow-out.
The field is being developed by Canada-based Niko Resources and is estimated to have in-place gas reserves of one trillion cubic feet.
Uncontrolled gas has been reported to be leaking from the sides of the casing while drilling a well. Possibility of poor cementing of the well is being held responsible for the leak.
Industry sources say that in case the gas leakage remains uncontrolled and it catches fire, there is every possibility of a blow-out of a large magnitude. The blow-out could be as big as the recent one at a Bombay High field of the Oil and Natural Gas Corporation.
Niko Resources is reported to have engaged an American company for advice on preventing a blow-out. The American experts have already reached the site.
All these expenses will be added to the project cost, reducing the quantum of `profit oil' that should flow to the government.
Earlier this year, a gas well at Bombay High had caught fire resulting in the collapse of a Rs 44 crore platform. It had taken ONGC nearly three months to put out the fire, which had cost the country around $30 million both in terms of loss in production and the expenditure on equipment needed to control
