Drilling of oil on Mahanadi on shore in September likely

Bhubaneswar, Mar 28 (UNI) Drilling of oil from the Mahanadi onshore basin is expected to commence by October 2007, Orissa Steel and Mines Minister Padmanav Behera told the state Assembly today.

Mr Behera said a joint consortium of OIL, ONGC, GAIL and IOC had decided to start one exploration well around Panchasarang and Balarampur village near Nischintakoili in Cuttack district.

The necessary geo-scientific works, framing of drilling location, environmental impact assessment, land acquisition and construction of approach road were in progress, the Minister said in a written reply to a question by BJD member Sanatan Bisi.

Mr Behera said one more exploratory well had also been planned in the area around 2009 depending on the result of the outcome of the drilling in the first well.

The Minister said on the Mahanadi offshore area, the ONGC, IOC, GAIL and OIL had jointly drilled two well- MDW-1 and MDW-2A/2B out of which one well in MDW 2A/2B had proven to be gas bearer.

He said the general assessment of this well was being worked out by an international consultant and two more well had been planned to drill in the area.

On the Mahanadi deep water area, exploration was going on as per the schedule and drilling of six exploratory wells had been planned by 2012 in three phases jointly by the ONGC, OIL and BPCL.

Besides, the consortium of Reliance, Nikko, Gadzdom and ONGC were also working in the off the Orissa coast for exploration of oil.

UNI