Cairn Indian plans to invest in Jaisalmer, Rajasthan gas fields

Cairn Indian plans to invest in Rajasthan oil fields

Cairn India Ltd, a unit of the U.K. energy explorer Cairn Energy Plc., plans to spend  $1.8 billion in 2010 and 2011 to produce crude oil from its field in Rajasthan.

Cairn India has discovered 25 oil fields in Rajasthan. The largest three oil fields are the Mangala, Bhagyam and Aishwariya fields.

The Company  plans to start producing 30,000 barrels a day from the core Mangala development during the three months to Sept. 30. The first oil will be trucked out and pipeline transportation will start in the fourth quarter, when an additional 50,000 barrels will be produced.

Cairn, along with partner Oil & Natural Gas Corp., plans to increase production at the Mangala and adjacent Bhagyam and Aishwariya fields to 175,000 barrels a day. Cairn is building production capacity of 205,000 barrels a day to process the crude oil it produces.


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Oil and Natural Gas Exploration in Rajasthan

The recent discovery of oil & gas reserves in Rajasthan provides a significant business opportunity to establish a number of upstream and downstream businesses in the state.

At present, the exploration activity in Rajasthan is limited to the following four blocks.

  • Rajasthan Shelf Basin: Jaisalmer and part of Bikaner District
  • Bikaner-Nagaur Basin: Bikaner,Nagaur, Ganganagar and Churu District
  • Vindhyan Basin: Dholpur, Karoli, Baran and parts of Bundi and Sawai Madhopur Districts
  • Barmer-Sanchore Basin: Barmer and Jalore District

Find more about business in Rajasthan