Guwahati (Assam) [India], April 22 : Cairn Oil and Gas, a unit of Vedanta Limited, has said it commenced test production from its discovered small field (DSF) at Hazarigaon in Assam.
Tea growers among other industries will use the gas from the field, the oil and gas exploration and production company said in a statement on Friday.
Additionally, the gas from Hazarigaon will be a prime contributor in fueling 100 CNG buses that will be plying in Assam's capital city Guwahati as part of the clean energy initiative.
"We are delighted to become the first company to commence operations from a DSF block in the Northeast region. The region holds significant potential and is a key focus for us at Cairn Oil & Gas as we move towards our goal of doubling production and supporting energy security for the country," said Nick Walker, CEO of Cairn Oil and Gas.
"Our partnership with the Government of Assam will not only drive the state's clean energy transition but also contribute to its overall economic development. The state has a significant potential for unlocking hydrocarbon reserves and with government support, infrastructure, and fast-tracked approvals to continue exploration activities, the region can support India's vision to be self-reliant in oil and gas."
According to the company, Assam and the northeast India region remain a top priority. The company plans to drill 5 to 10 high-impact exploration wells in the next two years across Assam's Golaghat, Jorhat and Tinsukia districts.
Cairn currently holds 7650 square km acreage in Assam, having resource potential of up to one billion barrels of oil equivalent.
The company is working closely with Assam Gas Company Limited and other infrastructure compes to make gas accessible to industries in Assam.
By the end of April, gas evacuation in Hazarigaon is expected to ramp up as tea industry demand increases, the statement said.
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