i Develop Stocks Advisory

HOEC - Updates Hindustan Oil Exploration Company Ltd (HOEC) has informed that the Company has conducted a drill stem test (DST) covering about 17 meters (in three Zones) out of a total of about 45 meters in eight gas bearing reservoir zones in Dirok-1 discovery well in block AAP-ON-94/1. The DST has resulted in flow of natural gas at an initial rate of approximately 6 million standard cubic feet per day (mmscfd) in the aggregate from the three tested zones along with condensate at an initial rate of approximately 75 barrels per day through 6.35 mm bean, indicating discovery being of potential commercial interest. The Company (the Operator), Indian Oil Corporation Ltd and Oil India Ltd presently have 40.323%, 43.548% and 16.129% participating interest respectively in the exploration phase. Oil India Ltd, the licensee of the block, has an option under the Production Sharing Contract to acquire additional 30% participating interest in the development and production phase. Should, Oil India Ltd exercise this option, the revised participating interest in the development and production phase shall be 26.882%, 29.032% and 44.086% for the Company, Indian Oil Corporation Ltd and Oil India Ltd respectively.