Cairn Oil & Gas, a vertical of Vedanta Limited, on Thursday said that Lloyd’s Register will manage its 41 blocks awarded under the Open Acreage License Policy I.
“Cairn Oil & Gas has shortlisted Lloyd’s Register for integrated project management of the 41 blocks it was awarded under Open Acreage License Policy I (OALP I),” the company said in a statement.
Cairn was awarded 41 of the 55 blocks under the government’s OALP I auction process, contracts for which were signed in October 2018.
The company said that the shortlisting of Lloyd’s Register was done after a rigorous bidding process that saw participation from top global players.
“At Cairn, we are planning for a success case scenario and looking ahead for how production management can be adopted at the very nascent stage prior to initiating the exploration activities. This approach, while capital-intensive, is the best way forward to fast-track production and deliver on our vision to contribute to India’s energy security,” said Ajay Kumar Dixit, CEO, Cairn Oil & Gas, Vedanta Ltd.
The development will enable speedy exploration management across the 41 blocks simultaneously with an end-to-end plan under stipulated timelines, the statement said. The company had also applied for Petroleum Exploration Licenses (PEL) in these blocks early on, and the process of obtaining environmental clearances is on. It has received PELs for 11 blocks, so far, and the rest are in progress.
Cairn would play an active role in supporting the government’s strategy in its energy-independence journey, through investments of more than $550 million in OALP I and DSF (discovered small fields), and increase its contribution from 25 per cent to 50 per cent of India’s domestic production.
The company currently produces close to 190kboepd (barrels of oil equivalent per day) of crude oil and aims to increase production to 270kboepd by the end of this year.