Vision & Objective

10 Years Vision of Petroleum Sector in Rajasthan

  1. 1. Hydrocarbon Production Strategy in Rajasthan.
  2. 2. Development of Heavy Oil Resource in Rajasthan. 
  3. 3. Exploitation of Natural Gas Resources of Jaisalmer Basin & Barmer-Sanchore Basin for Power Generation & other commercial use.
  4. 4. City Gas Distribution Projects in various cities of Rajasthan.
  5. 5. Value addition of Petroleum Resources through Refinery cum Petrochemical Complex 
  6. 6. Strategic pool for conservation of crude oil
  7. 7. Revenue from Petroleum Sector

Hydrocarbon Production Strategy in Rajasthan

4.1 billion barrels of crude oil i.e 500 MMT (Million Metric Tonnes) in-place reserves have been assessed in 38 discovered fields of Barmer-Sanchore Basin. As per the latest estimates of Cairn India, Barmer-Sanchore Basin has resource potential of 6.5-7.2 billion barrels (i.e. about 900-1000 MMT) of oil equivalent. Commercial Production of crude oil has been commenced from Mangla Field on 29th August, 2009 and at present 1,65,000 – 1,70,000 barrels of oil per day is being produced from Mangla, Bhagyam, Aishwarya, Saraswati & Raageshwari oil fields.

Development of Heavy Oil Resource in Rajasthan

25.00 MMT of Heavy Oil & 53.00 MMT of Bitumen in-place reserves have been assessed in Bikaner-Nagaur Basin by Oil India Ltd (OIL) for which OIL has entered into an agreement with PDVSA company of Venezuela for its exploitation. Trial production of heavy oil has conducted between August, 2009 to November, 2009 and about 470.00 barrels (i.e. 1428 Metric Tonnes) have been evacuated. Commercial production shall commence after successful completion of pilot test. Oil India Limited has planned to drill more pilot wells to establish reproducibility under Poonam discovery field as well as in Baghewala ML area.

Exploitation of Natural Gas Resources of Jaisalmer Basin & Barmer-Sanchore Basin for Power Generation/ Commercial use

A total of about 30 billion cubic meter of lean & rich gas reserves in-place have been proved by OIL, ONGC, Cairn India & focus Energy in Jaisalmer Basin & Barmer-Sanchore Basin. About 0.5- 0.7 mmscmd Natural Gas is being produced by OIL & ONGC from Tanot & Manhera Tibba areas of Jaisalmer Basin for the supply to 110 MW unit of Ramgarh Power Plant. Focus Energy has entered into an agreement with GAIL (India) Ltd and Rajasthan Rajya Vidhyut Utpadan Nigam (RRVUN) for supply of Natural Gas to 110 MW units as well as additional 160 MW unit of Ramgarh power plant. Presently, 1.5-1.6 mmscmd natural gas is being produced from SGL Field (Shahgarh area) for existing unit of Ramgarh Power Plant. Production of Natural gas has also been commenced from Raageshwari Deep Gas Field of Barmer Basin, and about. 0.3mmscmd is being utilized for company’s internal petroleum production operations and about 0.4 mmscmd is being supplied to GNFC for fertilizer and KRIBHCO.

City Gas Distribution Projects in various cities of Rajasthan.

City Gas Distribution Sector includes piped Natural Gas (PNG) supply to Domestic Consumer and Commercial Consumers like Hotel, Restaurants, Hospitals etc. Provision is also there for supply of piped gas to potential industrial Consumers provided proper assessment of requirement of Industrial fuel is made.

Petroleum & Natural Gas Regulatory Board (PNGRB) has identified cities/towns of the State for development of city gas distribution network projects. PNGRB has issued Expression of Interest (EOI) for seeking for interested entrepreneurs to develop of the same.

After issuance of EOI, PNGRB has authorized GAIL (India) for establishment of city gas distribution network in Kota city. GAIL has commissioned CGD Stations in Kota city for supply PNG to domestic and commercial consumers. Presently 192 domestic and 25 industrial consumers are connected with PNG.

Recently PNGRB has issued notice for seeking EOI for development of CGD Network in 2 smart cities of Rajasthan i.e. Jaipur and Udaipur.

Value addition of Petroleum Resources
(Petro-chemical industries & Ancillary Units based on petroleum by- products)

The Refinery cum Petrochemical complex has been planned in Rajasthan to process indigenous crude. This will be the first project in India integrated with Refinery and Petrochemical complex. Efforts have been made to revalidate the DFR from Engineers India Ltd. (EIL) as per mandate given by MoPNG on findings of PWC Report on fresh DFR submitted by LIL to HPCL, negotiations are in process with the intervention of Ministry of Petroleum & Natural Gas (MoP&NG), GOI. Thereafter, final decision with matter shall be taken up by MoP&NG for establishment of the project..

This Project shall involve processing of crude oil into various petroleum as well as petrochemical products keeping in view the latest environmental regulations. The project would also involve laying of water, crude and gas pipelines & setting up various infrastructural requirements.

A wide range of opportunities shall be generated in and around i.e. Barmer-Jodhpur Belt in terms of industrial & employment. The complex shall produce petrochemicals such as Polypropylene, Polyethylene, Butadiene, Benzene, Toluene and Mixed Xylene (BTX). These products will be used as a raw material by the downstream ancillary industries.

Petrochemicals based Industries such as Polypropylene, Polyethylene, etc.; Downstream Ancillary Industries such as automotive parts, films, pipes, packaged liquid products, tires and plastic materials, etc.; Petro-engineering Units such as manufacturing of fasteners, pipe fittings, electrical materials etc.; Support Industries such as workshops, fabrication shops, etc. and Institutions like training & development, trading & export, promotion/exhibition centers etc.

Strategic pool for conservation of crude oil

Bikaner region of Rajasthan has been selected for strategic Crude Oil Storage geographically and geologically to provide energy security to the countryin strategic time with other 5 locations in India.

Revenue from Petroleum Sector

Petroleum Sector has now become the important source of Revenue in the State since commercial production of crude oil & natural gas from Barmer-Sanchore Basin has commenced from 29.08.2009 & 23.03.2013 respectively and production of natural gas from Jaisamer basin has been enhanced substantially. Revenue is accrued in terms of royalty on production of crude & natuaral gas, PEL fees, dead rent etc.

Revenue accrued during 2008-09 was 100.49 Cr which has been enhanced significantly from 2009-10 onwards after production of Crude Oil. Hence, Revenue accrual during 2010-11 and 2011-12 was Rs. 1630 crores and Rs. 3435.61 crores respectively. However, the Revenue was enhanced during 2012-13 to Rs. 5069.88 crores as per production profile of 175,000 barrels per day and Rs 5953.11 crores were accrued against the target of Rs. 5500 crores during 2013-14 and revenue downed to Rs. 4848.70 against the target of Rs. 5300 crorers during 2014-15 due to rapid fall in crude prices and dollar exchange rate. Further, revenue of Rs 2341.43crores accrued during 2015-16 due to continue price fall and revenue target for 2016-17 has been fixed to Rs. 3700 crore.

Objective

A separate Petroleum Directorate for Hydrocarbon administration by monitoring of E&P Sector and to gear up other Petroleum Activities for planned development of the Sector in the State.
Carving of new blocks for the inclusion in various rounds of NELP & CBM Global Bidding by Govt. of India.

To deal the regulatory issues related with Petroleum Exploration Licenses (PELs) & Petroleum Mining Lease (PMLs) and to collect the revenues on production of Crude Oil & Natural Gas.

Scope of new projects viz: Establishment of Gas Grid, City Gas Distribution Network, Underground Lignite Gasification, Coal to Liquid (CTL), Shale Gas, Petrochemicals, Refinery etc. for value addition.

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