HOEC to begin commercial production from Dirok Field

On August 25, Hindustan Oil Exploration Company (HOEC) received a grant for the petroleum mining lease of the Dirok Field where the commencement of commercial production can begin forthwith. As per a report, on successful testing and completion of the sixth well, all the six wells in the field will be ready for production with the initial output expected to be about 10 mmscfd, restricted by the capacity of a four-inch pipeline.
 
This will be ramped up to full capacity over the next six months with the commissioning of its Modular Gas Processing Plant (MGPP). Dirok Field, located in Tinsukia district of Assam, has been developed in a record time of 27 months through a joint venture between Oil India, Indian Oil Corporation and HOEC, with HOEC as the operator.
 
Oil India will buy the gas at the price fixed by the government, based on a basket of international gas prices, which will be revised once in six months. IOC will buy the condensate at a price equivalent to the price of benchmarked crude oil.
 
Meanwhile, HOEC is building facilities that can deliver 36 million standard cubic feet of gas (equivalent to 1 million standard cubic metres per day) and over 1,000 barrels of condensate per day, nearly doubling the initial estimated volume of 20 mmscfd, as stated in the approved Field
Development Plan (FDP).