Cairn has high-investment plans for Mangala block.

While Cairn India is seeking a licence extension for its Rajasthan petroleum block till 2020, it has plans for the field till 2030-40 and beyond.

To enhance oil recovery rates (EOR), it is set to embark on a first polymer injection at the Mangala block by the fourth quarter of this financial year. The unprecedented scale of the Mangala EOR project will require polymers worth $300 million every three years. Cairn's contractual term for exploration and production from the Rajasthan Block RJ-ON-90/2 expires in 2020.

'Incremental recovery is expected to be 15 per cent from the MBA (Mangala, Bhagyam and Aishwarya) fields or 300 million barrels. Incremental oil production is estimated at 83 million barrels by 2030,' said Samarendra Roychaudhury, consultant head, central operations team, Cairn India. He was speaking at an energy conference.

The actual investment would, however, depend on the extension it would get from the government. Petroleum secretary Saurabh Chandra said last week a decision on it could take more than a month.

Polymer flooding is mixing long chain polymer molecules with injected water to increase water viscosity. This improves the oil mobility ratio. EOR production potential is equivalent to around 40 per cent of all the oil that has been produced worldwide.

BS