Guwahati: To quadruple oil production from Arunachal Pradesh’s Kharsang field in Changlang district, the Hindustan Oil Exploration Company (HOEC) has planned to drill 18 wells.
According to reports, HOEC has targeted to drill 18 wells in the Kharsang field, which is around 100 km from its gas-producing plant at Dirak in eastern Assam’s Tinsukia.
According to the field development plan approved by the Directorate General of Hydrocarbons, the Kharsang Phase-I programme will quadruple the company’s oil output to 1,800 barrels a day, in three years.
Each well would cost about $1.5 million to $2 million.
To start work in the field, HOEC has to get the production sharing contract (PSC) with the government extended by 10 years.
It has been learned that in the Kharsang field, HOEC has a 30 per cent participating interest 25 per cent directly and 5 per cent by virtue of its holding half the equity of Geopetrol International, which has 10 per cent stake in the field.
According to reports, a company called JIKPL, part of the Inverine Energy group has 25 per cent and the other 40 per cent of Kharsang is held by Oil India Ltd.