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OIL & GAS PROJECTS - Assam/Arakan Region, India
About the Region
The Assam region has been producing and refining oil since the late 1800’s. There are now over 40 producing fields with an average of almost 200 million barrels of oil (by comparison, the average field size in Alberta supports 4 million barrels of production). In 2002-2003, NE India’s exploration drilling success rate was on average over 40% and to date there are only 1,400 development wells compared to the 130,000 in Alberta.
About India
Northeast India has the infrastructure to allow quick access to multiple markets for production and low operating costs with four operating refineries and connecting trunk pipelines in place. It is estimated that US$100 billion is planned for pipeline and refinery expansions over the next 20 years for all of India.
Politically, India is exploration friendly, being the largest democracy in the world with a stable fiscal regime. Foreign investment is encouraged in the form of attractive contract terms prepared by government including low profit sharing, 100% cost recovery and fixed low royalties in order to generate attractive netbacks.
Further Reading & Related Information
Indian Ministry of Petroleum and Natural Gas
Directorate General of Hydrocarbons
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