New Delhi, Dec 11 (UNI) Mukesh Ambani-owned Reliance Industries Limited (RIL) today said the Technical Evaluation Agreement signed in 2005 with Agencia Nacional de Hydrocarburos (ANH) of Colombia has been converted to Hydrocarbon Production and Exploitation Contracts at an exploration budget of 50 million dollars.
The agreement is for the exploration of two offshore blocks, Borojo North and Borojo South, said a statement.
These contracts will, in due course, be assigned to REP DMCC, a 100 per cent subsidiary of RIL.
Signed on December 10 at Bogota, Colombia, the contracts envisages exploration of two blocks located in the Pacific Ocean, west of Colombia in water depths reaching upto 1,500 meters.
Each block size is about 4,000 square kilometres and RIL said it has carried out comprehensive geological studies before selecting these blocks.
The contract provides a six year Exploration Period consisting of four phases of 18 months each, with exit right at the end of each phase.
Over these six years, the company is expected to drill upto two wells in each block apart from conducting seismic, multi beam and heat flow surveys.
The exploration budget for the two blocks is close to 50 million dollars in next six years, if not exited in earlier phases.