Cairn India’s Rajasthan block reaches production landmark

Cairn energy reduces oil import bill by US$25 billion in six years of operations

The country’s prolific on land oil block Rajasthan operated by Cairn – ONGC JV has crossed a milestone of 300 million bbls crude production. Mangala, India’s largest onshore oil field, completes six years of operations on 29th August, 2015. The prolific Rajasthan block operated by Cairn India, has played a critical role in reducing the gross cumulative import bill by US$25 billion since it went on-stream in August 2009.

To date, the field has also contributed over INR 60 000 crore gross cumulative contribution to the national exchequer. The Cairn India operated Rajasthan block is currently producing around 172 224 boe/d, accounting for more than 27% of the country’s domestic crude production.

Cairn India’s continued focus on operational excellence with high standards of Health, Safety & Environment (HSE) practices has earned many felicitations. In recognition of HSE performance, the Raageshwari Gas Terminal (RGT) in the Rajasthan block has received the ‘Second Prize’ of the FICCI Safety System Excellence in the category of ‘Large Scale Manufacturing Industries’ in recent times.

Apart from the significant contribution to the national exchequer, the oil fields discovered in the Thar Deserts has brought about significant transformation in the socio-economic landscape of the region as well. Cairn India’s presence has had direct and indirect economic impacts on the local population. Land-owners, who used to be dependent on sporadic rainfall to sow and harvest the bajra crop, have seen their fortunes rise by contributing their land to oil exploration. Driven by the entrepreneurial spirit of the local community, the service economy has been booming. Barmer, that used to have a couple hotels in 2003, now boasts of 18 hotels. The increase in personal incomes of those who contributed land to Cairn as well as those who contract to the company has resulted in other businesses setting up shop in the area to market aspirational products and services.

Cairn India focuses on the areas of health, livelihood/income enhancement, education and infrastructure in the community development initiatives in the region. Through its inclusive growth approach, Cairn India has been able to benefit approximately 500 000 community members through various community-development initiatives.

The Mangala oil field was inaugurated in 2009 by the then Hon’ble Prime Minister of India. The discovery of Mangala aside, putting it into production required Cairn to bring a great deal of innovative technology to India. For example, in just two years, the company built the world’s longest continuously heated pipeline, a first for any oil independent, and it has not been repeated since.

Cairn India has drilled and tested 1.6 billion boe of hydrocarbons in-place, since resumption of exploration in Rajasthan in 2013. In the next phase of development, a full field EOR polymer phase will be implemented in FY2015 to enhance oil recovery rates. Upon completion, the Mangala EOR project will hold the record for the largest ever in a single field.

In his message to the employees Mayank Ashar, MD & CEO Cairn India said:

“In about six years since we started production from our fields from our Rajasthan block, we have successfully completed 300 million bbls of production. This milestone is an outcome of efforts of each one of you. Together we have been able to create this history and I am confident we will set more benchmarks in the days to come for the industry to emulate. Our nation’s quest for energy security depends upon our efforts and success.”

For more information on Cairn India please visit at http://www.cairnindia.com/

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