HELP Hydrocarbon Exploration and Licensing Policy

Tamil Research Institution (TRI)
India's Hydrocarbon Outlook : 2015-16
India's 26 sedimentary basins have not
been exploited to optimum levels; to assist
in the identification of new, unexplored
and unapprised areas with hydrocarbons
prospectivity, a plan has been formulated to
conduct 2D seismic surveys in all sedimentary
basins of India where no/scanty data is
available. A project has been initiated by a Multi
Organization Team (ONGC, OIL & DGH) to carry
out re-assessment of hydrocarbon resources
of India in all its 26 sedimentary basins based
on geo-scientific data generated over past
decades. Under the policy for Geo-scientific
data generation for hydrocarbons in Indian
Sedimentary Basins, through Non-exclusive
Multi-client Geo-scientific surveys; data
acquisition has commenced in West coast of
India. Furthermore, to encourage E&P activities
in the North East Region of India, Government of
India carried out special study with consultant
for framing Hydrocarbon Vision Document
2030 for NE India.
With an objective to increase the domestic
production and to monetize the hydrocarbon
resources locked for years, Government
introduced the 'Discovered Small Field
Policy-2015'. Under this policy, 67 oil and gas
fields will be awarded in 46 contract areas
estimated to hold over 625 Million Barrels of
Oil and Oil Equivalent Gas (O+OEG) in-place
and spread over 1,500 square kilometres
in Onland, Shallow water and Deepwater
areas. Furthermore, to enable optimal
recovery of oil and gas reserves from fields of
Pre-NELP discovered (small and medium)
fields, Government has approved a policy for
the grant of extension to the existing Production
Sharing Contract. Also, recognizing the need
to incentivize gas production from Deepwater,
Ultra Deep water and High Pressure-High
Temperature Areas, Government has notified
marketing and pricing freedom for gas produced
from all present and future discoveries in such
areas which are yet to produce commercial
production.
by ONGC. While tight oil and shale gas are within the realm of
possibility, gas hydrate, currently under research, has to reach
a stage when we can think of commercial production. Natural
Gas Hydrate Program (NGHP)-2 was successfully completed
in July 2015 wherein 42 wells were drilled at 25 sites in Krishna
Godavari and Mahanadi deepwater basin by hiring Japanese
drillship CHIKYU. Significant gas hydrate bearing zones have been
identified and pilot production testing is planned to be conducted
under NGHP-3.
To highlight the E&P activities in FY 2015-16, a total of 7816.12
LKM of 2D seismic data and 6236.12 SQM of 3D seismic data was
acquired. 138 exploratory wells were drilled in the year with an
exploratory meterage of 403.72 km. 363 development wells were
drilled with a cumulative meterage of 83.16 km. Total crude oil
production in the country in FY 2015-16 is 36.95 MMT (69% from
nomination regime and 31% from PSC regime) and cumulative
natural gas production is 32.249 BCM (75% from nomination,
24% from PSC regime and 1% from CBM). As on March 2016, the
in-place volume of crude oil is 7080 MMT and 4192 BCM for gas
(11272 MMT O+OEG), there has been a cumulative accretion of
in-place volume 46.64 MMT. Total 27 hydrocarbon discoveries
were made in FY 2015-16 with 13 in nomination regime and 14
in PSC regime. National Data Repository (NDR) project has made
commendable progress and is in advanced stage of completion.
As on 31.03.2016, total 169144.77 LKM 2D Seismic data, 15716.28
SKM 3D Seismic data, 237 wells and their log data and 618 well
reports have been loaded in NDR.
DGH is willing to walk the extra mile to tap prospective investors
and make all out efforts to offer as many blocks as possible.
DGH will endeavour to be the rightful contributor to maintain a
progressive and conducive atmosphere for the E&P sector and will
continue the role of a facilitator and ensure a level playing field. DGH
also intends to resolve all contractual and technical issues within
its ambit by a synergistic collaboration with the E&P fraternity. I
thank Ministry of Petroleum and Natural Gas whose encouraging
support and guidance have let us discharge our duties effectively.
DGH's Annual publication "India's Hydrocarbon Outlook : 2015-16"
summarizes all important events and achievements of India's
upstream sector in an informative and lucid manner. The publication
will be a valuable guide to the future investors and the existing
stakeholders.
Unconventional hydrocarbon resources play a
vital role in boosting domestic gas production
in India. In FY 2015-16, Coal Bed Methane
production has reached 1 MMSCMD and is
poised to increase to 6 MMSCMD by 2018.
India's shale gas reserves could be anywhere
between 300 TCF (8.5 TCM) and 2,100 TCF
(59.5 TCM). Under the current agreement,
exploration of shale gas is being carried out
by the Oil and Natural Gas Corporation (ONGC)
alongside Oil India Limited. So far, 69 crores
have been collected from 17 wells drilled
www.tamilri.com
ATANU CHAKRABORTY
Director General
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