Essar Oil and Gas E&P Plans to Invest Rs 20bn in Bengal CBM Block

Essar Oil and Gas Exploration and Production plans to invest Rs 20 billion in the next 18 to 24 months for drilling 200 more wells in the Raniganj block.

The unconventional hydrocarbon producer reported its highest revenues in a year of Rs 9 billion in FY-2023, a growth of about 1.8 times compared with the previous year.

EOGEPL currently produces two-thirds of India’s gas output from coal seams called coal bed methane (CBM).

The company strives to contribute 5 per cent to India’s total gas production in the next five years.

The Raniganj block is the highest producer of CBM to date and the only CBM project in India to produce over 82 billion cubic feet of CBM gas to date.

Prashant Ruia, director, Essar Capital and EOGEPL, said, “The company aims to participate in India’s mission of reducing carbon footprint and becoming a gas-based economy by the next decade. EOGEPL aims to provide industries in its vicinity with alternative clean fuel at economical prices by ramping up its gas production at the cheapest cost.”