Project Profile
Value: Undisclosed
Location: Parbartpur, state of Jharkhand, eastern India
Reserves: 2C resources of 89 Bcf
Production: 9 Bcf per annum
Start-up Year: -
On 30 March 2011, Dart Energy entered into a joint venture with Electrosteel Castings for a Coal Mine Methane (CMM) project in Parbartpur, India. The JV will have exclusive rights to produce and sell CBM from the 8.8 km2 Parbatpur coal mine licence, which is currently owned and operated by Electrosteel. Dart holds a 30% equity stake in the JV and acts as operator while Electrosteel holds the remaining 70%.
The Parbatpur coal mine is located in the coal rich state of Jharkhand in eastern India. Geological studies have identified 18 coal seams in the Barakar formation with a cumulative thickness of over 80 metres at depths between 200 and 1,100 metres. The Parbatpur coal seams have high gas content and gas saturation close to 100%, requiring extraction of CBM ahead of mining for regulatory and mine safety purposes. An initial appraisal program of two core holes were drilled in 2011, which identified 18 coal seams with cumulative thickness ranging from 60 metres to over 100 metres. In addition, good gas content and saturation levels have been observed.
Dart plans to drill 8 pilot production wells in 2012 and commercialise produced gas through CNG sales. A total of 52 wells are envisaged at full field development with the potential of producing over 9 Bcf per annum. Dart is currently in negotiations with a local downstream operator of CNG facilities targetting industrial customers in the vicinity. In addition, Electrosteel has the option to acquire produced gas for use at the company\'s nearby steel plant. Netherland, Sewell & Associates Inc. has estimated 2C resources at the Electrosteel licence area at 89 Bcf as at 31 December 2011. This is expected to be converted into 2P reserves following regulatory approval on sales of gas.
Operators:
Dart Energy: Operator with 30% interest
Electrosteel: 70% interest
Contractor:
Netherland, Sewell & Associates Inc.: Reserves estimation report