UK-based, India-focused oil explorer Hardy Oil expects to resume production from its defunct oil producing asset in the Cauvery basin from 2014.
The company, along with ONGC and two other partners, is currently working on a revised field development plan (FDP) for the PY-3 oil block to be submitted for government approval by April.
“We have held a number of constructive meetings with partners and the India upstream oil and gas regulator (‘DGH’). As a result, we have agreed to a timeline to submit a full field development plan,” Hardy said in a recent statement.
Production halted in July 2011 after the contract for work with external contractors expired. The consortium partners were not able to forge a consensus on the future course of action.
Now, Hardy also plans to initiate the tendering process after which the consortium can resume production.
“Assuming timely approvals from partners, a full field development plan is to be submitted for the GOI’s review and approval by the end of the first quarter of 2013… Based on current assumptions, production could recommence in the first half of 2014,” the Hardy statement said.
The field’s existing well is capable of producing at a gross daily rate of over 3,000 barrels per day (bpd) and with future planned wells, the field has the potential to reach 8,000 bpd.
The PY-3 field is located off the east coast, 80 km south of Pondicherry, in water depths of 40 to 450 metres.