Govt gives nod for Cairn's new gas discoveries

New Delhi: The government has approved three more discoveries made by Cairn India in its Rajasthan block, as commercially exploitable.

The Declaration of Commerciality (DoC) for the three discoveries made in Kameshwari West 2, 3 and 6 has been approved, along with a new Development Area of 822 square kilometres, which was part of the Northern Appraisal Area, Cairn said in a statement.

The Kameshwari West 2 and 3 discoveries have opened up a new play in the Barmer Hill/Lower Dharvi Dungar sands on the western margin of the Rajasthan basin, it said.

Cairn has so far made 25 oil and gas discoveries in the Rajasthan block, four of whic h are being developed for beginning crude output this year.

“Cairn and its joint venture partner ONGC now have 3,111 square km under long-term contract on the Rajasthan licence,” it said.

The main Mangala field covers 1,859 sq km, while the second largest field of Bhagyam covers 430 sq km. Cairn India CEO Mr Rahul Dhir said: “Cairn India is delighted to have secured the approval for 'Declaration of Commerciality' of this area. It will enable us to develop the discoveries and access the area for further exploitation. We strongly believe that the Rajasthan basin is world class and will continue to add incremental value.”