Essar plans to invest Rs 2,000cr in Bengal’s brownfield project
COAL & MINING

Essar plans to invest Rs 2,000cr in Bengal’s brownfield project

Essar Oil and Gas Exploration and Production Ltd (EOGEPL) will invest another Rs 20 billion in the next 18 to 24 months in its coal bed methane project in West Bengal’s Raniganj, an official said.

The company earlier had already invested Rs 50 billion in the Raniganj block in drilling 350 wells and producing nearly 0.9 million metric standard cubic metres (mmscd) of gas per day.

Chief executive officer (CEO) of EOGEPL, Pankaj Kalra, said that another investment of Rs 20 billion will be made for drilling 200 more wells in the next 18 to 24 months.

“We are employing the latest technology in the existing wells to ramp up production from 0.9 mmscd to 1.3 mmscd which will be completed in a few months “, Kalra said.

Total CBM production from Ranigunj will touch around three mmscd when the additional wells become operational, Kalra added. He said the company is currently contributing nearly 65 per cent to the country’s total CBM production, which is likely to go up to 90 per cent post drilling of the additional wells.

Kalra also said two shale gas wells, another form of unconventional hydrocarbon, will also be drilled at Raniganj in 2023 as a pilot project following which a detailed appraisal will be done.

The company is currently contributing Rs 1.5 billion to the state exchequer annually which is likely to go up to Rs 3 billion once production of CBM from Raniganj is ramped up.

The official also said that being an unconventional form of energy, China and Australia are giving support to CBM production in those countries by subsidising the sector to bring in more investors.

He said CBM has the potential to displace 10 to 30 per cent of the annual requirement of LNG imports in the near term thus reducing import bills.

See also:
Shyam Steel plans to invest Rs 25 billion in Brownfield and Greenfield projects
NTPC eyes 10GW coal-based brownfield expansion


Essar Oil and Gas Exploration and Production Ltd (EOGEPL) will invest another Rs 20 billion in the next 18 to 24 months in its coal bed methane project in West Bengal’s Raniganj, an official said. The company earlier had already invested Rs 50 billion in the Raniganj block in drilling 350 wells and producing nearly 0.9 million metric standard cubic metres (mmscd) of gas per day. Chief executive officer (CEO) of EOGEPL, Pankaj Kalra, said that another investment of Rs 20 billion will be made for drilling 200 more wells in the next 18 to 24 months. “We are employing the latest technology in the existing wells to ramp up production from 0.9 mmscd to 1.3 mmscd which will be completed in a few months “, Kalra said. Total CBM production from Ranigunj will touch around three mmscd when the additional wells become operational, Kalra added. He said the company is currently contributing nearly 65 per cent to the country’s total CBM production, which is likely to go up to 90 per cent post drilling of the additional wells. Kalra also said two shale gas wells, another form of unconventional hydrocarbon, will also be drilled at Raniganj in 2023 as a pilot project following which a detailed appraisal will be done. The company is currently contributing Rs 1.5 billion to the state exchequer annually which is likely to go up to Rs 3 billion once production of CBM from Raniganj is ramped up. The official also said that being an unconventional form of energy, China and Australia are giving support to CBM production in those countries by subsidising the sector to bring in more investors. He said CBM has the potential to displace 10 to 30 per cent of the annual requirement of LNG imports in the near term thus reducing import bills. See also: Shyam Steel plans to invest Rs 25 billion in Brownfield and Greenfield projectsNTPC eyes 10GW coal-based brownfield expansion

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code