Six offshore discoveries in India declared commercial

Jubilant has declared commerciality of six discoveries (KG-16, KG-22, KG-31, KG-21, KG-19 and KG-20SS) in Block KG-OSN-2001/3, off the eastern coast of India.

GSPC, the Operator of the block, had submitted a commerciality analysis report on the six discoveries to the Ministry of Petroleum & Natural Gas on 14th February 2013 and the same has been reviewed by the Management Committee as required under the terms of the Production Sharing Contract.

The Declaration of Commerciality (“DOC”) of the six discoveries has been examined with the following parameters and reviewed by the Directorate General of Hydrocarbons, India (“DGH”):

a) Gas Initially In Place (“GIIP”) : Gross 8.392 TCF as estimated by DGH;Net to Jubilant being 839 BCF.
b) Recoverable Gas (Contingent Resources) : Gross 1.015 TCF as estimated by DGH; Net to Jubilant being 102 BCF
c) Development Wells : 25 wells (combination of dry tree and sub-sea wells)
d) Production Facilities :Platforms, Pipelines, Flow-lines, Process Umbilicals and Modifications of DDW Platform and Onshore Terminal

The Operator has prepared a long term phased resource maturation plan for the development of total available resources in the discovery area. As part of this phased development, the approved DOC considers recoverable gas of 1.015 TCF for initial development out of 2C recoverable gas resources of 4.708 TCF on gross basis (corresponding GIIP 8.392 TCF). GCA had estimated 2C recoverable resources of 4.888 TCF (corresponding GIIP 9.178 TCF), as was announced on 6 September 2012.

The above discoveries exclude the DeenDayal West (“DDW”) and DDW Extension areas.