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| Essar Oil |
"Essar has arise production and selling of CBM chat," Essar Oil COO Prem Sawhney thought, speaking by the side of the 9th Petro India seminar at this point.
The company is producing 90,000-100,000 million standard cubic meters apiece daylight hours (mmscmd) of chat from underneath coal seams (coal bed methane) in the Raniganj wedge in West Bengal.
The Raniganj coal bed methane (CBM) wedge will contact a greatest output of on 3 mmscmd in 2-3 years, he thought, accumulation production from the wedge will carry on 15 years.
Essar Oil is investing $300 million in place of CBM chat production.
Sawhney thought the company campaign to drill 500 wells on 2-3 years.
The chat is sold to a confined fertiliser place by the side of $4.2 apiece million British thermal units.
The company had carry on time signed production sharing contracts (PSCs) in place of four CBM blocks it had won under the recently concluded fourth in circles of mart. It in a jiffy has five CBM blocks to harvest chat from underneath coal seams.
The Raniganj wedge in West Bengal has in-place wealth of 4.6 trillion cubic feet (tcf) and recoverable wealth of around 1 tcf. Clothed in the Rajmahal wedge, single of the four areas in place of which Essar signed a PSC carry on time, the in-place wealth maintain been e stimated by the side of 9.5 tcf, with recoverable wealth of 4.7 tcf.
Sawhney thought at present five CBM blocks (with diverse companies) in the terrain -- Raniganj East, Raniganj South, Jharia, Sohagpur West and Sohagpur East, are at present producing 0.15 mmsmcd and output is likely to extent 7.4 mmscmd by 2013.
So far, government has awarded 32 CBM blocks, holding 62 tcf of chat coffers, to diverse companies.