Homemarket Newsstocks News

ONGC Videsh strikes oil in Colombia onshore block

ONGC Videsh strikes oil in Colombia onshore block

Mini

OVL struck oil in the recently-drilled well in the Llanos Basin of Colombia. During initial testing with an electrical submersible pump, fluid flowed at approximately 600 barrels per day.

ONGC Videsh strikes oil in Colombia onshore block

ONGC Videsh Ltd (OVL), the overseas investment arm of state-owned Oil and Natural Gas Corporation (ONGC), on June 23 said it made an oil discovery in an onshore block in Colombia.

OVL struck oil in the recently-drilled well, Urraca-IX, in CPO5 block, Llanos Basin of Colombia, the company said in a statement. During initial testing with an electrical submersible pump, fluid flowed approximately at 600 barrels per day with around 40-50 percent W/C and oil of 16 API, it added.

OVL is the operator in the block with a 70 percent stake. Geopark Ltd, an independent oil and gas company focused on Latin America, has the remaining 30 percent interest. Block CPO-5 was awarded to OVL in the 2008 bid round of Colombia.

Oil discovery in this well in the Lower Mirador pay opens up new areas for further exploration in the northern part of the block. ONGC Videsh had earlier discovered commercial oil in the Lower Sand pay in Mariposa and Indico fields in the block in 2017 and 2018, respectively, which are currently commercially producing 20,000 barrels per day, the company said.

OVL has a stake in seven exploratory blocks in Colombia. These are in addition to two producing blocks with 50 percent in the JV company, Mansarovar Energy Colombia Ltd (MECL).

Shares of ONGC ended at Rs 134.85, down by Rs 0.050, or 0.037 percent on the BSE.

next story

Market Movers

Currency

CompanyPriceChng%Chng