Australian Oilex Confirms Gas Potential at India Field

Following the completion of C-23z core analysis, Oilex August 24 announced that commercial gas flow rates are potentially achievable and that the EP-IV tight siltstones at Cambay field in Gujarat State, India can be effectively stimulated.

Australia-listed Oilex has a multi trillion ft³ gas resource at the Cambay production-sharing contract in the EP-IV tight siltstones that requires drilling and stimulation optimisation technologies to achieve commercial flow rates. Schlumberger and Baker Hughes were appointed to complete the core analysis and to report on the reasons for under-performance of past wells.

In June, Oilex said was in talks to farm-out a stake in the tight gas project and it is working on the field development plan as part of its application for an extension of the PSC term beyond September 2019. The application is required to be lodged by September 2017.

In July 2005, Oilex entered into an agreement with the Cambay field joint venture, comprising Gujarat State Petroleum Corporation (GSPC) and Niko Resources to acquire a 30% participating interest in the production sharing contract covering the Cambay field. Oilex acquired an additional 15% equity interest from Niko and now holds a 45% participating interest in the Cambay PSC.

The Australian firm is also evaluating new business opportunities ranging from discovered undeveloped resources with exploration upside to existing production.  

Shardul Sharma