FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com


Join the forum, it's quick and easy

FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com
FINANCIAL CHRONICLE™
Would you like to react to this message? Create an account in a few clicks or log in to continue.
FINANCIAL CHRONICLE™

Encyclopedia of Latest news, reviews, discussions and analysis of stock market and investment opportunities in Sri Lanka

LISTED COMPANIES

Submit Post
STOCK MARKET TRAINING
ශ්‍රී ලංකා මූල්‍ය වංශකථාව - සිංහල
Submit Post




Send your suggestions and comments

* - required fields

Read FINANCIAL CHRONICLE™ Disclaimer

Latest topics

» EXPOLANKA HOLDINGS PLC (EXPO.N0000)
by Hope123 Today at 5:22 am

» Losing GSP+: Petty political revenge or Sri Lanka's economy?
by soileconomy Today at 5:09 am

» A penny share that might work out in near future
by madukp Today at 3:48 am

» CENTRAL INDUSTRIES PLC (CIND.N0000)
by Hairoos Yesterday at 10:06 pm

» Daily Foreign Transactions
by Pradeep90 Yesterday at 9:06 pm

» PANASIAN POWER PLC (PAP.N0000)
by Good bad Yesterday at 8:29 pm

» Directors' Dealings 14/06/2021
by SAGA Yesterday at 6:59 pm

» TOP 10 Dividend Stocks
by lakmin Yesterday at 5:56 pm

» LANKA ALUMINIUM INDUSTRIES PLC (LALU.N0000)
by Captain Yesterday at 5:37 pm

» Top Foreign Trading today - 14/06/2021
by SAGA Yesterday at 5:19 pm

» LANKA IOC PLC (LIOC.N0000)
by Pradeep90 Yesterday at 3:37 pm

» HATTON NATIONAL BANK PLC
by Eranx Yesterday at 12:24 pm

» ජිනීවා චන්දෙන් පසු හෙට මොකක් වෙයි ද ?
by samaritan Yesterday at 12:22 pm

» BUKI price comeing down
by Zahara khan Yesterday at 10:36 am

» B P P L HOLDINGS PLC (BPPL.N0000)
by arunaupendra Yesterday at 9:21 am

» Understanding inflation and share prices.
by dayandacool Yesterday at 6:53 am

» Stocks rose across Asian Markets after China & US agree to push forward trade, investment ties
by Wickyz Yesterday at 1:51 am

» Adani's entry followed by Indian CEOs discussion with Minister ANC
by Wickyz Yesterday at 1:30 am

» E B CREASY & COMPANY PLC (EBCR.N0000)
by Saman12 Yesterday at 12:08 am

» CEYLON TEA BROKERS PLC (CTBL.N0000)
by SAGA Sun Jun 13, 2021 2:19 pm

EXPERT CHRONICLE™

ECONOMIC CHRONICLE

GROSS DOMESTIC PRODUCT (GDP)


CHRONICLE™ YouTube

CHRONICLE™ NEWS PRODUCTS

FINANCIAL CHRONICLE™

Views & Reviews, Analysis, Evaluations, Discussions, Gossip and Hot Tips relating to Sri Lankan companies listed on the Colombo Stock Exchange (CSE)
Contribute




DAILY CHRONICLE™

Latest news and articles published in Newspapers, Websites, Blogs and other online news sites relating to business and investments in Sri Lanka
Contribute



ECONOMIC CHRONICLE™

This is a section that provide news, views, analysis, predications relating to Political and Socio-Economic factors and how such activities affect the Stock Market and other economic activity of the Country.

Contribute




EXPERT CHRONICLE™

This is an exclusive section for Expert Articles which will help member to share knowledge through comments and responses of the members. All members are allowed to reply and make comments to these articles.

Contribute


Submit Post


CHRONICLE™ YouTube

Youtube Videos and other visual presentations relating Stock market and other investment advise submitted by members or other contributors.

Contribute


Submit Post


කොළඔ කොටස් වෙළඳපොළේ වංශකථාව
කොළඔ කොටස් වෙළඳපොළේ ලැයිස්තුගත සමාගම් කොටස් ගැන තොරතුරු¸විශ්ලේෂණ¸සාකච්ඡා¸ කටකතා¸රසකතා යන සියල්ල අපේම සිංහලෙන් කතා කළ හැකි ‘කතා මණ්ඩපය’

Contribute


Submit Post

CHRONICLE ANALYTICS
All Share Index (ASI), S&P, Milanka Price Index (MPI), Moving Averages and all other analytical graphs and charts

Contribute

Twitter Feeds

You are not connected. Please login or register

FINANCIAL CHRONICLE™ » DAILY CHRONICLE™ » Cairn Lanka sets Feb 01 for spudding fourth exploratory well

Cairn Lanka sets Feb 01 for spudding fourth exploratory well

Go down  Message [Page 1 of 1]

Redbulls

Redbulls
Director - Equity Analytics
Director - Equity Analytics
* US$ 150mn invested on phase one, local companies, Navy & Air Force get US$ 12.4mn

* IF commercially viable hydrocarbon deposits found, extraction could start 3 to 5 years from now


Cairn Lanka will commence drilling a fourth exploratory well 21km off the Kalpitiya coast on February 01, 2013, in its search for commercially viable hydrocarbon deposits in Sri Lanka’s side of the Mannar Basin.

The availability of a drillship, the ‘Discoverer Seven Seas’ owned by Singapore-based Transocean Inc, made it possible for Cairn Lanka to advance the drilling by a quarter, paving way for the team to exploit a prime ‘weather-window’.

Cairn Lanka, fully owned by Cairn India, has already invested US$ 150 million on the first phase which resulted in the discovery of two (out of three) successive gas and condensate discoveries on wells named CLPL Dorado and CLPL Barracuda.

Spudding, or the start of drilling, on the fourth exploratory well is part of phase two and the well will be called CLPL Wallago, named after a breed of catfish found in the Central Province of Sri Lanka, Cairn India Head of Corporate Affairs and Communications Dr. Sunil Bharati, told The Island Financial Review yesterday.

The company has already exceeded commitments under phase one, which was the drilling of three exploratory wells, by acquiring 3D seismic data covering 600sq km of the Mannar Basin sea bed.

Data from the CLPL Wallago well, 1.1km from the sea-level and 3km from the seabed, the seismic data and data from the two successful wells would be subject to a series of gruelling analysis, which could take months.

"IF the data is promising then we could commence appraising the hydrocarbon deposits within a year or two," Dr. Bharati said.

The appraisal process referred to the process of finding out the size or volume of hydrocarbon deposits. This data is again analysed and a commercialisation study is done to determine whether the hydrocarbon deposits are commercially viable.

For an industry where guess-work is shunned for meticulous study and preparation Dr. Bharati cautiously said: "IF all goes well, and IF the data points to commercially viable hydrocarbons, then extraction could commence within three to five years time." He stressed again, that everything depended on finding such a deposit, and this takes time, and money.

Cairn Lanka’s commitment for phase one was US$ 110 million but it had spent more than US$ 150 million for additional work, such as the acquisition of 3D seismic data. Dr. Bharati was tight-lipped on how much would be invested on phase two.

Sri Lankan companies, alien to the hydrocarbon exploration industry, have already forged partnerships with Cairn Lanka, and Dr. Bharati said he was impressed.

"We have already spent US$ 12.4 million on Sri Lankan businesses for their services and goods. We appreciate the services carried out by the Sri Lanka Navy (security) and Sri Lanka Air Force (helicopter ferrying) both on commercial terms," he said.

Hayleys Energy, GAC Shipping, NARA, Lanka IOC were some of the others doing business with Cairn Lanka, apart from the city hotels that provides accommodation to an international team conducting operations on the drill ship for three to four months at a time.

"At any given time there are more than a hundred people on the drill ship," Dr. Bharati said.

During exploratory activities in phase one, around six Sri Lankan professionals and scientists were on board the drillship providing their services.

He paid to a tribute to Sri Lanka’s bureaucracy, saying it was more efficient than a few other regions where Cairn operated.

"Government approvals are a lot quicker than in some places, and full marks to them, given that this was a relatively new industry," Dr. Bharati said.

IF, commercially viable hydrocarbon deposits are found, it would belong to the government of Sri Lanka, where a royalty fee and profit sharing with Cairn Lanka would ensue according to the Petroleum Resources Agreement signed in 2009.

The government expects a 10 percent royalty, apart from the profit share based on the investment multiple, taxes and the revenue of the participating National Oil Company which will be incorporated IF and WHEN commercial oil extraction commences.

According to this agreement IF commercially viable deposits of hydro carbons are found, based on the investment multiple, the shares in profits will begin from 12.5 percent to Sri Lanka and increase to 60 percent within five years of commencement of oil extraction.
http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=71471

Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum