Oilex Gets Approval to Sell Gas from Cambay-77H Well in India

Oilex has received approval from the Indian government for the sale of gas from the Cambay field, specifically from the Cambay-77H well in Gujarat, India.

This latest endorsement by the government follows the announcements made by the company in July and December, in which it was reported that Oilex was authorised to sell gas from Cambay-73 and Bhandut-3 wells respectively, the company said in a statement Monday. 

The Cambay Joint Venture will now establish the appropriate production facilities for Cambay-77H and initially connect Cambay-77H to a low pressure pipeline grid to service the local area. 

“An approval to sell gas from Cambay77H and Cambay-73 removes part of the contingency in the assessment of recoverable quantities of gas as reserves,” Oilex said.

Cambay-77H is the first horizontal multistage fracked well to be successfully production tested in India.  The production test results were announced by the company on 8 December 2014 and are interpreted to demonstrate that commercial development of the Cambay Field is feasible.   

Oilex is now working towards putting three wells in two separate fields into production, during first half of 2015.