Cairn believes India has large potential in oil

Outlining India's significant potential in the oil and gas sectors, Cairn Energy CEO Bill Gammell said India has the potency to produce more than 100 mm barrels oil or equivalent. Sharing his experience in the ten year operation of Cairn in India, Gammel said big discoveries are not only possible but are being done.
There are three main fairways in the Indian sub-continent -- the east coast, the west coast and Himalayan sub-thrust, he said while addressing the Petrotech-2005.
"With Cairn's involvement in Bangladesh/Nepal and India, we have perhaps a unique insight and understanding of the regional perspective and hydrocarbon potential of India," Gammell said.

He said Cairn's vision was based on premise that the world's main hydrocarbon provinces and the application of science has led to reserve additions that have outstripped production and frequently exceeded demand growth. Gammell hinted on Cairn's participation in the NELP fifth round in a major way as well as to encourage other oil and gas companies to grasp the opportunity that was offered by the Government.
The CEO said Cairn's focus will be on reserve additions, aligning with the Government objective to reduce import bill and to share in the profit deriving for upstream success.

Petroleum Minister Mani Shankar Aiyar has declared his intentions to increase production to a mm bpd by 2005.
"It is very much a part of Cairn's policy to take a leading role in helping the Government's vision to achieve his vision," he said.
Cairn has drilled more than 100 wells and brought four fields on-stream as well as made the first deepwater discovery on the east coast. It has invested more than $ 1.25 bn in India.

Gammell said the application of good geo-science and new thinking can be seen in the success of development of Ravva oil field, along with partners ONGC, Ravva Oil and Petrocon. Oil production in Ravva is now 50,000 bpd with additional gas production. He said Ravva field has generated $ 3.5 bn revenue and has benefited the local community with its jobs, schools and clinics. The Government also got profit petroleum.
On the Rajasthan discovery, Gammell said Cairn has not only identified over 2 bn barrels of oil in place but also significant gas potential.