pre feasibility report · 2019-04-01 · pre feasibility report . for obtaining . prior environment...

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PRE FEASIBILITY REPORT FOR OBTAINING PRIOR ENVIRONMENT CLEARANCE FOR DRILLING OF 08 WELLS IN CB-ONN-2010/5 OIL FIELD BLOCK OF PAN INDIA CONSULTANTS PVT. LTD. PREPARED BY: M/s. ENVIROCARE TECHNOCRATS PVT. LTD. 201, New Opera House, Near CNG pump & Harish Dyeing, Khatodara, Surat - 395002. Phone: (0261) 2630781 Tele Fax: (0261) 2630781 E mail: [email protected] / [email protected]

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Page 1: PRE FEASIBILITY REPORT · 2019-04-01 · pre feasibility report . for obtaining . prior environment clearance . for . drilling of 08 wells in . cb-onn-2010/5 oil field block. of

PRE FEASIBILITY REPORT

FOR OBTAINING

PRIOR ENVIRONMENT CLEARANCE

FOR

DRILLING OF 08 WELLS IN

CB-ONN-2010/5 OIL FIELD BLOCK

OF

PAN INDIA CONSULTANTS PVT. LTD.

PREPARED BY:

M/s. ENVIROCARE TECHNOCRATS PVT. LTD.

201, New Opera House, Near CNG pump & Harish Dyeing,

Khatodara, Surat - 395002. Phone: (0261) 2630781

Tele Fax: (0261) 2630781 E –mail: [email protected] / [email protected]

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INDEX

CHAPTER

NO. TITLE

PAGE NO.

1. Executive Summary 3

2. Introduction of Project / Background Information 5

3. Project Description 7

4. Site Analysis 25

5. Planning Brief 27

6. Proposed Infrastructure 28

7. Rehabilitation and Resettlement (R & R) Plan 29

8. Project Schedule & Cost Estimates 30

9. Analysis of Proposal 31

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [3] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

1. EXECUTIVE SUMMARY

Government of India has awarded Exploration Block CB-ONN-2010/5 in the Cambay

Basin having surface coverage of 49 sq. km situated in Patan and Mehsana districts of

Gujarat to consortium of Pan India Consultants Pvt. Ltd. (PICPL) with participating interest

of 20% and Frost International Limited (FIL) with participation interest of 80% and signed a

Production Sharing Contract (PSC) in NELP-IX round for the same. Pan India Consultants

Pvt. Ltd. (PICPL) is the operator of the block.

In addition to the Production sharing contract signed with MOPNG, Government of India, a

Petroleum Exploration License (PEL) has also been granted by Ministry of Energy and

Petrochemicals, Government of Gujarat vide their order no. PEL-10-2012-964-E dated

15.03.2013 and 17.03.2018 with validity upto 14 March 2019, for exploration of Oil & gas

in this block as per the PSC signed with the Government of India. Further, applied for PEL

(fees paid) for another 3 years, i.e. up to 14 March 2022.

The Block CB-ONN-2010/5 lies in the Ahmedabad-Mehsana Tectonic block of the

Cambay Basin. The block falls in the northern part of the Ahmedabad-Mehsana tectonic

block, having a number oil and gas fields, of which the prominent ones are Kalol, Jotana,

Sobhasan, Becharaji and Balol. Lanwa and south Patan fields are located to the southeast

and northwest respectively of the block. The block is extensively covered by 2D Seismic

lines and also by 3D seismic data. The 2D seismic data is of various vintage and the 3D

data was acquired in 2007.

The site is well connected from both Mehsana and Patan district. Mehsana ~ 14 km (SE)

and Patan 12 km (N) from Block boundary. The nearest railway station is Chanasma at

less than one kilometre from the north-west corner of the block while Mehsana is at a

distance of 14 kms. The nearest airport is Sardar Valabhbhai Patel in Ahmedabad which is

about 73.50 kms from the SE corner of the boundary.

During drilling and production activities, PICPL will be adhering to all the rules and

regulations of MoPNG, MOEF & GPCB along with HSE guidelines of DGMS under OMR,

1984.

In order to exploit the Hydrocarbon reserves in the Ring - fenced PSC Area, consortium of

the block requires conducting exploration and further development activity. This will

include drilling of wells, testing of wells, Development of production facilities (depending

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [4] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

upon discovery) after oil discovery and subsequently commencement of Oil production. To

carry out the said activity Environmental Clearance are required for the following:

i) Drilling of 08 wells.

ii) Production from 08 wells:

- Expected production from each well: Crude Oil : 20 m3/day

: Associated Gas : 10,000 m3/day

iii) Commissioning/set up of production facilities at new or any Existing well locations

depending on Oil Discovery.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [5] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

2. INTRODUCTION OF PROJECT / BACKGROUND INFORMATION

2.1 IDENTIFICATION OF PROJECT AND PROJECT PROPONENT

The proposed project is for drilling of eight (08) wells. Existing 49 km2 area having block

no: CB-ONN-2010/5 is awarded by GOI under production sharing contract. Award of

additional block, having 21.45 km2 area adjacent to eastern side of existing block is under

process. Block area is located at Chanasma and Becharji Taluka of Patan and Mehsana

District respectively in Gujarat. The project is developed by PICPL and FIL.

Pan India Consultants Pvt. Ltd. – It was established in 1981 and they provide high-

value, high technology products and comprehensive support services in verticals such as

Geophysics, Hydrography, Oceanography, Hydraulics, Railway Rolling stock etc. The

Company also provides services and solutions across Consulting, Marketing,

Commissioning and Maintenance of Engineering and Electronic Systems Equipment,

Instruments, Software Developments, Geomatics and Geotechnical Services.

Frost International Ltd. - Incorporated in 1995, is recognised as a star trading house by

the Ministry of Commerce and Industry, India, for having consistently exported according

to the policies and guidelines of the Government of India and Federation of Indian Export

Organizations. For over 18 years, Frost International trades in diverse commodities like

minerals and metals, plastics, textiles, fabrics, agro commodities, equipment, and others.

The Company has also forayed into businesses such as Public Private Participation (PPP)

in the Transportation space, initiation of stevedoring operations at the Bhavnagar Port in

Gujarat and setting up of a wind farm in Tamil Nadu.

PROJECT PROPONENT

PCPIL is a Pvt. Ltd. firm. Mr. Naresh Aggarwal is an Additional General Manager of the

company. Company has vast experience in this field.

2.2 Brief Description and nature of project:

PICPL plans to undertake drilling & development (depending upon discovery) of 08 wells

in an existing onshore block CB-ONN-2010/5 of about 49 sq. Km and another 21.45 km2

block area at Patan and Mehsana district of Gujarat.

Type of Project

As per EIA Notification dated 14th September 2006 (and subsequent amendments) of

Ministry of Environment and Forests (MOEF) Sr. no. 1(b), all projects of offshore and

onshore oil and gas exploration, development and production requires prior Environmental

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [6] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Clearance (EC). The proposed project belongs to Category ‗A‘ and requires Environmental

Clearance from MOEF. Past EC vide letter no. J-1011/276/2014-IA.II (I) of dated

28/03/2016 of this block already obtained by M/s. PCPIL.

NATURE OF THE PROJECT

Drilling of 08 wells in the field.

Production of Crude Oil from wells using surface production facility as per standard

norms & regulation.

The oil well is created by drilling a hole into the earth with an oil rig to exploit petroleum

oil hydrocarbons. Usually some natural gas is produced along with the oil. A steel pipe

(casing) is placed in the hole, to provide structural integrity to the drilled wellbore. Holes

are then made in the base of the well to enable oil to pass into the bore. Finally, a

collection of valves called a "Christmas Tree" is fitted to the top, the valves regulating

pressures. And controlling flows, whereby produced fluid is being handled by surface

production facility.

2.3 NEED FOR THE PROJECT

To increase the production with an aim at filling the gap between national crude oil

demand and supply and meet the energy requirements and reduce economic burden, M/s.

PCPIL intends to enhance the production of oil and gas in the block by drilling &

developments (depending upon discovery) of wells.

80% crude oil imported and 20% produced against the total requirement.

Import vs. indigenous production to meet domestic market requirement.

2.4 EMPLOYMENT GENERATION (DIRECT & INDIRECT) DUE TO THE PROJECT

During drilling operation:

About 15 to 20 persons may be working in 12 hour shift at site. Local people from the

nearby villages shall be hired. Therefore, no temporary housing facility will be required

at or near well site for workers.

During operation phase:

Once drilling is over no person is required at site, except security cover through a

contractor. 03 security guards will be there.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [7] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

3. Project Description

3.1 TYPE OF PROJECT INCLUDING INTERLINKED AND INTERDEPENDENT

PROJECTS, IF ANY

No interlinked project

3.2 LOCATION (MAP SHOWING GENERAL LOCATION, SPECIFIC LOCATION, AND

PROJECT BOUNDARY AND PROJECT SITE LAYOUT) WITH COORDINATES)

LOCATION OF THE PROJECT

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [8] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

LONG VIEW

SHORT VIEW

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [9] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

The site is located at below latitude and longitude.

Name of the Field : Block CB-ONN-2010/5

Area [Sq. Km] : 49

Block Coordinates

Longitude Latitude

Points Deg. Min. Sec. Deg. Min. Sec.

A 72 7 0 23 42 30

B 72 9 35 23 43 33

C 72 10 30 23 41 40

D 72 11 4.98 23 41 53.82

E 72 12 21.93 23 39 5.52

F 72 14 12 23 39 48

G 72 14 12 23 38 48

H 72 12 48 23 38 6

I 72 12 40 23 37 8

J 72 12 3 23 37 8

K 72 11 41 23 38 49

L 72 11 23.48 23 38 39.51

M 72 10 0 23 39 29.9

N 72 9 1.11 23 40 22.76

O 72 7 52 23 40 38

A 72 7 0 23 42 30

Co-ordinates of the additional area requested.

Area [Sq. Km]: 21.45

Block Coordinates

Longitude Latitude

Point Deg. Min Sec Deg. Min Sec

A 72 9 35 23 43 33

B 72 10 30 23 41 40

C 72 11 4.98 23 41 53.82

D 72 12 21.93 23 39 5.52

E 72 14 12 23 39 48

F 72 12 15.12 23 42 6.84

G 72 11 12.12 23 42 9

H 72 11 11.76 23 42 23.04

I 72 11 35.52 23 42 36.36

J 72 10 6.24 23 43 51.96

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [10] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Coordinates of existing drilled wells by PICPL :

Longitude Latitude

Wells Deg Min Sec Deg Min Sec

Well#1A 72 11 25.87 23 39 6.82

Well#1B 72 12 0.94 23 39 9.00

Well#2 72 12 22.53 23 38 28.20

Well#3 72 13 26.04 23 38 48.74

3.3 DETAILS OF ALTERNATE SITES CONSIDERED AND THE BASIS OF

SELECTING THE PROPOSED SITE, PARTICULARLY THE ENVIRONMENTAL

CONSIDERATIONS GONE INTO SHOULD BE HIGHLIGHTED

No alternate site is examined as the block is awarded by Ministry of Petroleum and

Natural Gas, Government of India in the Ninth round of its New Exploration Licensing

Policy (NELP).

3.4 SIZE OR MAGNITUDE OF OPERATION PRODUCTION FROM PROPOSED

WELLS THROUGH PRODUCTION FACILITY (EPS)

TYPICAL LAYOUT OF DRILLING SITE

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [11] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

3.5 PROJECT DESCRIPTION WITH PROCESS DETAILS

DRILLING OF WELLS

PICPL plans to undertake drilling of 08 wells in an existing onshore block CB-ONN-2010/5

of about 49 sq. Km and another 21.45 km2 block area at Patan and Mehsana district of

Gujarat. The well locations will be finalized based on the results of the various geological

and engineering studies carried out.

Flow Chart showing various Phases of Drilling Activities

Site Preparation and Installation of Drilling Site Facilities

Site preparation will involve all activities required to facilitate the operation of the drilling rig

& associated equipments and machineries. During the initial stage, the drilling site will be

elevated to about 2.0 m from the existing ground level with minimal clearance of existing

ground vegetation. The loose top soil will be removed by using mechanical means like

dozer and saved at a nearby place for later use during site restoration.

Leveling and compaction will be done with the help of graders and mechanical rollers. The

land filling materials and rubbles will be required for the purpose of site preparation in

sufficient amount. All such materials will be obtained by unit through contractors and it will

be ensured that they source the material from government approved borrows and

quarries, if possible as per the requirement. A backhole will be used for all excavation and

cutting activities (for construction of pits) on site. Subsequently, the proposed well site &

campsite will be duly fenced using chain link and barbed wires.

Platforms for drill pad and all other heavy equipment systems or machinery, cast in-situ

Reinforced Cement Concrete (RCC) will be used for the construction of foundation

system. The ring foundation will be of 20 m X 20 m in size and will have an elevation of 0.6

Site Selection

Land Acquisition

Site Preparation and Installation of Drilling Site Facilities

Drilling Activities

Well Testing

Completion of Drilling

If not Found Oil & Gas, Decommissioning & Closure of Wells

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [12] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

m. For making the foundations of main rig structure, cast in-situ bored under reamed piles

of specified lengths will also be used. The elevated structures will have proper garland

drains for storm water with sufficient gradient, made of brick masonry, to take care of

surface runoff water.

Specially designed pit of an impervious HDPE liner of 1-1.5 mm thickness will be provided

as part of the site development for disposal of drilling waste in the form of spent drilling

mud & cuttings. In addition to that, a cuttings pit of 28m X 24m for disposal of drill cuttings

and two waste pits of 17 m X 12 m for disposal of drilling mud and rig wash water will be

provided.

A composite of size 100 X 50 m, elevated to the height as that of the drilling site (approx.

2.0 m), will be set up adjoining the well site. Local earth and rubble will be used as the fill

material. The surface will have a 150 mm thick Water Based Mud (WBM) layer. Proper

surface gradients and brick masonry drains will take care of the run-off water, where as

separate septic tanks and soak pits will be provided along with the labour camp for

disposal of domestic waste water.

The transport of the Rig including auxiliary equipments and camp facilities to the site are

expected to comprise around 50 truck loads. The rig and related equipments will be

directly brought to site and stored.

Installation of Drilling Site Facilities

Each drilling site will require following drilling facilities;

Office cabin / rest room;

Drilling rig foundation and cellar pit;

Foundation / pits for ancillary equipments;

Space for drill rig equipment, working area and materials lay down area;

Cutting disposal (impervious lined) pits;

Solar evaporation pits (waste drilling fluid disposal);

Water storage pit;

Sewage treatment system (septic tank with soak away pits);

Paved and contained chemical storage area;

Above ground diesel storage tanks with paved and bunded area;

Storm water drainage system;

Internal roads and fencing

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [13] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Initial Well Construction

Wells will be drilled in sections, with the diameter of each section decreasing with

increasing depth. Before commencing the actual drilling, large diameter pipe (Conductor)

will be lowered into a hole and cemented/grouted. Conductor pipes provide a conduit for

the return fluid during drilling next section and also prevent whole unconsolidated material

falling into hole and potential washout problems.

The lengths and diameters of each section of the well will be determined prior to the

starting of the drilling activities and are dependent on the geological conditions through

which the well is to be drilled. Once each section of the well is completed, the drill string is

lifted and protective steel pipe or casing lowered into the well and cemented into place.

The casing helps to maintain the stability of the hole and reduce fluid losses from the well

bore into surrounding rock formations.

Drilling Process

Drilling operations will be conducted round-the-clock. The time taken to drill a borehole

depends on the depth of the hydrocarbon bearing formation and the geological conditions.

PCPIL intends to drill wells to depths up to 1500 m. This would take around 30 – 45 days

time for each well.

Where a hydrocarbon formation is found, initial well tests- possibly lasting more than one

month (if tested by work over rig, which is similar to a drilling rig) are conducted to

establish flow rate of oil & gas and formation pressure along with other reservoir

parameters. These tests may then generate oil, gas and formation water. This mode of

drilling would also reduce the land used or "foot print". On completion of testing the well

would be declared oil / gas producer or dry.

Drilling Mud and Cutting Disposal system

During drilling operations a fluid known as drilling fluid (or ‗mud‘) is pumped through the

drill string down to the drilling bit and returns between the drill pipe – casing annulus up to

surface back into the circulation system after separation of drill cuttings/solids through

solid control equipment. Drilling fluid is important to the operation of drilling rig, as it

performs the following functions.

Control the down hole pressure;

Lift soil/rock cuttings from the bottom of the borehole and carry them to a settling pit;

Allow cuttings to drop out in the mud pit so that they are not re-circulated (influenced

by mud thickness, flow rate in the settling pits and shape /size of the pits);

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [14] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Prevent cuttings from rapidly settling while another length of drill pipe is being added

(if cuttings drop too fast, they can build up on top of the bit and seize it in the hole);

Create a film of small particles on the borehole wall to prevent caving and to ensure

that the upward flowing stream of drilling fluid does not erode the adjacent formation;

Seal the borehole wall to reduce fluid loss (minimizing volumes of drilling fluid is

especially important in dry areas where water must be carried from far away);

Cool & clean the drill bit; and

Lubricate the bit, bearings, mud pump and drill pipe.

Unit proposes to use water-based mud only. The main components of drilling mud are

slurry of inert solids suspended in a liquid phase.

The mud used during the operation will flush out formation cuttings from the well hole.

These cuttings will be separated from the drilling mud using a solids-control and waste

management package. This will comprise a stepped system of processes consisting of

linear motion vibrating screens called shakers and centrifuges to mechanically separate

cutting from the mud fluid. The mud from the hole is first screened in the shakers through

a mud flow line which separates 100 micron size of cuttings. The solids up to 2 micron are

separated in a centrifuge. The mud is then collected in mud tanks. Both the cuttings from

the shale shakers and centrifuge are collected in a solid discharge pit and then removed to

a specially designed pit lined with HDPE of 50m x 20m x 1.5m dimension. This cuttings pit

has a certain slope to drain off water in the adjacent waste pit. This pit after being filled up

shall be covered with an impervious liner over which a thick layer of native top-soil with

proper top slop will be provided.

The whole process by which the drilling fluid will be reused during the drilling operation is

commonly known as a ―closed loop system.‖ This system is ideal for drilling operations in

those areas, where water availability is comparatively less as it cuts down the total water

consumption for the formulation of drilling mud and also saves the consumptions of

chemicals. The drilling fluid circulation system is likely to be considered to enable the

drilling fluid to be recycled and maintained in good condition throughout the operation.

The mud chemicals are added to mud system to adjust the mud system.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [15] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Drilling Mud Circulation System

Testing of wells

Since the primary purpose of the proposed drilling campaign is for exploration as well as

appraisal, unit may precede with full well appraisal. While drilling, cores of rock will be

taken from the hydrocarbon-bearing strata and a number of well logs performed.

The objectives of coring and logging are to identify the geology of the penetrated rock, to

confirm the previously interpreted geology and to locate possible hydrocarbons. After

drilling to the specified final well depth, various logs for hydrocarbon bearing strata will be

taken.

When hydrocarbons are encountered it is necessary to determine whether the composition

and reservoir permeability warrants further development. Typically a production test might

proceed through the final completion with the permanent production valves (Christmas

tree) in place. The primary purpose of installing the Christmas tree is to ensure control of

formation pressures. After the completion of drilling, well testing will be carried out in order

to evaluate well potential, reservoir parameters to carry out Techno- Commerciality.

Thereafter, on the basis of feasibility production will be commenced.

Completion of Drilling

On completion of activities, the well will be either plugged and suspended (if the well

evaluations indicate commercial quantities of hydrocarbons) or will be killed or

permanently abandoned. In the event of decision to suspend the well, it will be filled with a

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [16] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

brine solution containing very small quantities of inhibitors to protect the well. The well will

be sealed with current plugs and some of the wellhead equipment (blind flange) will be left

on the surface (Cellar). If the well is abandoned, it will be sealed with the series of the

cement plugs, all the wellhead equipment will be removed, by leaving the surface clear of

any debris and the site will be restored.

Decommissioning and Closure of Wells

After the completion of the drilling activity, partial de-mobilization of the drilling rig and

associated infrastructure will be initialed. As discussed earlier, well testing may be carried

out immediately after the drilling is completed. The complete de-mobilization of the

facilities at site will happen once well testing completed successfully. This will involve the

dismantling of the rig, all associated equipment and residential camp, and transporting it

out of the project area. It is expected that demobilization will take approximately 20-25

days and will involve the trucking away of materials, equipments and other materials from

the site to bring it back to its original condition. It is estimated that around 50 truck loads

will be transported out of site during this period.

If no indication of any commercial viable amount of oil or gas is encountered either before

or after testing, the well will be declared dry and encountered either before or after testing,

the well will be declared dry and accordingly will be plugged of and abandoned, and the

site will be restored in the line with regulation and good industry practice. The following

steps will be typically involved to restore and rehabilitate the area:

The wetland and all casing string will be cut off to a minimum depth of 3 m (10 ft)

below ground level

All concrete structure will be broken up, and the debris disposed off as per the

regulatory requirements.

All other waste products, solids and liquid, will be disposed of in accordance with the

requirement of the EIA and will be treated to render them harmless.

All fencing and access gates will be removed. All pits whose contents will show

regulatory compliance for onsite disposal, at the time of site closure will be backfilled

and closed out as per the legal requirements.

Restoration of unusable portion of the access track, removal of pilling and

landscaping.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [17] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

PROCESS DESCRIPTION – SETTING UP EPS AT WELL SITE

LAYOUT PLAN OF EPS

Surface facility has been designed considering potential of well for the handling of

produced Fluid/hydrocarbons (Oil, Gas & Water) from the Oil well. Surface production

facility mainly comprises of production, separation, storage, heating, crude loading

including fire fighting pump, fire hydrants and other safety provisions as per statutory

guidelines.

Initially wells will have sufficient reservoir pressure to produce crude oil and natural gas by

its own natural occurring pressure on self flow mode. However, wells may put on Artificial

lift System in case reservoir pressure are insufficient or in later course of production after

depletion of reservoir pressure to lift the fluid from well bore up to surface.

PROCESS OF STORAGE / HANDLING OF HYDROCARBON:

Surface Production Facility (EPS) will be developed at one of the existing or proposed well

site location. Produced Hydrocarbons from wells is being allowed at storage tank and well

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [18] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

site from where it will be loaded in tankers via the tanker loading point and transported to

delivery point of ONGC.

HANDLING OF PRODUCED LOW PRESSURE ASSOCIATED GAS:

The low pressure gas coming out of the separator, if any will be utilized as a fuel for

indirect water Bath Heater for crude oil heating. During an operation upsets, the gas will

be directed to flare stack for technical flaring.

In order to operate the wells for the production of oil and gas, EPS will be established.

TWO STAGE SEPARATORS

Separator will be designed to separate production fluids into their constituent‘s

components of Oil, Gas and water. It will work on the principle of separation due to density

difference, velocity reduction, and gravity.

Once the oil and other fluids will be separated, the oil will leave the vessel at the bottom

through a dump valve that is controlled by the level controller. The gas which has now

been separated will reach to the top. This gas will leave through the top and will be

passing through a meter run for measurement purposes.

Pump Jack

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [19] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Process Diagram of EPS

Once the Crude Oil and associated gas are extracted from ground either due to self

pressure or with the help of Artificial Lift System, they will be diverted to two phase

separator wherein due to their density difference the same shall be separated.

Crude Oil shall be transferred to the temporary storage tanks and later transported to

Delivery Point for further processing. Oil shall be maintained in liquid form by providing

heat through bath heaters.

A part of produced/ Associated gas will be used in the bath heaters to heat the fluid for

maintaining the fluidity, whereas the remaining gas will be supplied to local buyers through

underground flow line, which shall be laid by buyers from EPS gas manifold up to their

plant /Industry. Associated gas will be used in bath heaters. Technical flaring of gas shall

be envisaged.

WELL WISE PRODUCTION:

Expected production from each well is shown in Table;

PRODUCTION FROM EACH WELL

Details Quantity per Well

Crude Oil 20 m3/day

Associated Gas 10,000 m3/day

Liquid Crude Oil

By Tanker ONGC

Crude Oil

Natural Hydrocarbon

Well Head Manifold

Natural Hydrocarbon

EPS Header Indirect Water Bath Heater

Two Phase

Separator

Associated Natural Gas

Used in Bath

Heater

Hot Flaring, If Any

Loading Point

Storage Tanks

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [20] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

PRODUCTION FACILITIES

EPS will be developed at drill well sites hence no additional land acquisition is required.

EPS will have following facilities;

Staff shed with power generator

Material storage area

Fire water pit

Waste Water pit

Crude oil storage area (tank farm)

Hazardous waste storage area

3.6 RAW MATERIAL REQUIRED ALONG WITH ESTIMATED QUANTITY, LIKELY

SOURCE, MARKETING AREA OF FINAL PRODUCT/S, MODE OF TRANSPORT

OF RAW MATERIAL AND FINISHED PRODUCT

During Drilling:

List of drilling chemical required per well is as under. Chemicals will be transported to

site from suppliers.

Drilling Mud Composition

Sr. No. Raw Material Quantity (MT/Well)

1. Barite 245.0

2. Bentonite 15.0

3. Caustic Soda 2.0

4. Soda Ash 1.0

5. PG Starch 11.5

6. PAC L 7.5

7. PAC R 3.0

8. KCl (5%) 80.0

9. Sulphonated asphalt 10.0

10. Aluminium Sterate 0.3

11. Chrome free Lignosulphonate 3.0

12. XC Polymer 4.0

During Operation:

Demulsifier fuel and lubricants will be stored in smaller quantity. It shall be

transported to site from suppliers.

Crude oil from wells is being allowed at storage tank and well site from where it will

be loaded in tankers via the tanker loading point and transported to delivery point of

ONGC.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [21] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

3.7 RESOURCE OPTIMIZATION/RECYCLING AND REUSE ENVISAGED IN THE

PROJECT, IF ANY, SHOULD BE BRIEFLY OUTLINED

During Drilling:

Water Based Mud will be used during Drilling operation. Drill cuttings generated

along with Waste Mud, shall be washed, and separated. Mud shall be reused after

improving its properties.

During Operation:

Low pressure gas if available can be utilized for in house heating of crude oil tank for

maintaining the mobility of crude oil for transportation.

3.8 AVAILABILITY OF WATER, ITS SOURCE, ENERGY/ POWER REQUIREMENT

AND SOURCE

A. WATER CONSUMPTION

SOURCE OF WATER: Water Tanker

During Drilling

(KLD/well)

During Operation

(KLD/EPS)

Domestic 2.0 0.5

Industrial 36.25 13.7

Total 38.25 14.2

B. ELECTRICITY:

SOURCE OF POWER: Madhya Gujarat Vidhhyut Company Limited (MGVCL)

During Drilling:

Source Fuel Consumption

Diesel Engine (Capacity: 500.00 KVA, Total-04 Nos., 01 Standby) (It will be used to run drilling rig & circulation system)

HSD-10 KLD

D G Set (Capacity: 100 KVA) (It will be used for power generation)

HSD-20 Lit/Hr

During Operation:

Power will be sourced from Local GEB at each EPS:

Source Fuel Consumption

Madhya Gujarat Vij Company Limited (MGVCL) – 40 KVA --

Diesel Generator (Capacity: 30 - 40 KVA) (It will be used during emergency)

HSD-15 Lit/Hr

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [22] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

3.9 QUANTITY OF WASTES TO BE GENERATED (LIQUID AND SOLID) AND

SCHEME FOR THEIR MANAGEMENT/DISPOSAL

a) WASTE WATER GENERATION:

During Drilling

(KLD/well)

During Operation

(KLD/EPS)

Domestic 1.8 0.4

Industrial 4.00 --

Total 5.8 0.4

Mode of disposal:

Domestic waste water will be discharged ion Septic tank during drilling and operation

phase.

During drilling activity, wastewater generated due to washing of drilling cutting and mud

will be allowed in scientifically designed open pit having impervious layer at bottom in

which water will be totally absorbed in drilling cuttings and mud.

After drilling operation the said drilling cutting and mud will be dried and it will be disposed

at TSDF site.

During operation phase, no produced water generation will take place as our all wells

are dried. If any produced water generated on a later stage it will be re-injection in

abandoned well or naturally evaporated.

Water Balance Diagram (Drilling Phase)

2.0 KLD 36.25 KLD

Total Water Requirement

38.25 KLD

Domestic

Requirement

2.0 KLD

Mud

Preparation

15.0 KLD

Washing

15.0 KLD

Engine

Cooling

6.25 KLD

Discharged to Evaporation Pit

4.0 KLD

1.8 KLD 3.0 KLD 1.0 KLD

Disposed through

septic tank / soak pit

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [23] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Water Balance Diagram (EPS Operation Phase)

b) SOLID WASTE MANAGEMENT

During Drilling:

Domestic solid waste of approx – 1 - 2 kg/day per well will be generated which is

segregated at source (organic / inorganic) & disposed accordingly.

During Operation:

Domestic solid waste of approx – 1 - 2 kg/day will be generated at each EPS which is

segregated at source (organic / inorganic) & disposed accordingly

c) Industrial Solid and hazardous waste

Hazardous / Solid Waste Generation and Its Management (Drilling Phase)

Sr. No.

Type of Waste Quantity per Well

Disposal

1. Domestic Waste 2 kg/day Shall be sent through contractor to approved municipal site.

2. Drill Cutting 150 m3 Shall be tested for its hazardous constituent (oil & grease), if it is found hazardous, it shall be handed over to authorized TSDF facility. In case of non hazardous, it shall be disposed in to HDPE lined pit.

3. Spent Drilling Mud 25 MT

4. Used Oil 500 Lit Shall be handed over to authorized recyclers approved by GPCB / CPCB.

5. Oily Cotton Waste 180 kg Shall be stored in containers and handed over to authorized disposal site/agency.

6. Chemical Drums / Bags

300 kg Shall be handed over to authorized dealer approved by GPCB / CPCB.

Total Water Requirement

14.2 KLD

Domestic

Requirement

0.5 KLD

Industrial + Fire fighting

facility (make up)

12.5 KLD

2.0 KLD

Disposed through

septic tank / soak pit

Gardening

1.2 KLD

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [24] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

Hazardous/Solid Waste Generation and Its Management (Operation Phase)

Sr. No.

Type of Waste Quantity per EPS*

Facility

1. Domestic Waste 2 kg/day Shall be sent through contractor to approved

municipal site.

2. Used Oil 15

Lit/year

Shall be generated during DG set

maintenance at each EPS which shall be

max. used for internal purpose for greasing

the instrument and balance quantity will be

sold to GPCB /CPCB authorized recyclers.

3. Waste Sludge Oil 12

m3/year Shall be stored in container or cement drain

pit and then handed over to authorized

disposal site. 4. Oily Cotton Waste 120

kg/year

* The above waste will be generated at EPS site only, No waste generated at individual

connected wells during operation phase.

3.10 SCHEMATIC REPRESENTATION OF THE FEASIBILITY DRAWING WHICH

GAVE INFORMATION OF EC PURPOSE

The unit is going for drilling of Crude Oil & Associated Gas. Thus, the projects fall

under category A of schedule 1(b), Offshore and onshore oil and gas exploration,

development & production as per the EIA Notification, September 2006. Therefore,

it requires prior Environment Clearance.

SCHEMATIC REPRESENTATIONS OF PROJECT

Activity

Offshore & onshore oil & gas exploration, development and production. Thus, falls under schedule 1(b).

Thus, overall project require EIA as per MoEF notification.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [25] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

4. SITE ANALYSIS

4.1 CONNECTIVITY

Well connected through road.

Temporary road will be planned to the well site for not connected areas.

4.2 LAND FORM, LAND USE AND LAND OWNERSHIP

Agricultural land acquired on rental basis, which will be cleared for development of

EPS and laying of flow lines from wells to EPS.

If well is not viable for commercial production, then said land is returned back to land

owner after restoring the site.

4.3 TOPOGRAPHY

4.4 EXISTING LAND USE PATTERN (AGRICULTURE, NON-AGRICULTURE,

FOREST, WATER BODIES (INCLUDING WHICH ARE UNDER CRZ)), SHORTEST

DISTANCES FROM THE PERIPHERY OF THE PROJECT TO PERIPHERY OF

THE FORESTS, NATIONAL PARK, WILD LIFE SANCTUARY, ECO SENSITIVE

AREAS, WATER BODIES (DISTANCE FROM THE HFL OF THE RIVER), CRZ. IN

CASE OF NOTIFIED INDUSTRIAL AREA, A COPY OF THE GAZETTE

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [26] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

NOTIFICATION SHOULD BE GIVEN

Existing land use pattern was agricultural, but the site has been taken on lease

and adequate compensation will be paid as per GoG policy.

No such areas like Forests, National Park ESZ, and Wild Life Sanctuary exist

within 10 km of each well site.

4.5 EXISTING INFRASTRUCTURE

Roads, village area, etc

4.6 SOIL CLASSIFICATION

The light, brown sandy loam, the 'garat' in the Northeast, imperceptibly changes into

black soil in the lower coastal areas through an insensible gradient: One may find in

the transitional Zone medium black soil, which is locally, called 'besar'. The alluvial

deposits, the 'bhatha', are associated with valleys and flood plants and are subjected

to yearly inundation and deposition of fresh layer of alluvium .

4.7 CLIMATIC DATA FROM SECONDARY SOURCES

Climate is characterized by hot summer and general dryness except in the southwest

monsoon season. Maximum average temperature recorded for pre monsoon was

43°C with mean minimum temperature is 41 °C and maximum is 46°C.

Average wind speed is 9-12 kmph.

Average rain fall is 500-700 mm per year in the region.

4.8 SOCIAL INFRASTRUCTURE AVAILABLE

- Yes, village school and health centre available.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [27] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

5. PLANNING BRIEF

5.1 PLANNING CONCEPT (TYPE OF INDUSTRIES, FACILITIES, TRANSPORTATION

ETC), TOWN AND COUNTRY PLANNING/ DEVELOPMENT AUTHORITY

CLASSIFICATION

Industry — Oil and Gas.

Drilling of well to explore the possibility of Hydrocarbons, which consist of drilling Rig

& Development of Production facility which consist of separator, storage tanks, Bath

heater, Heater-Treater Flow line system, flare stack, fire-fighting system, Oil loading

platform, Security room etc.

5.2 POPULATION PROJECTION

During drilling operation:

About 15 to 20 persons may be working in 12 hour shift at site. Local people from the

nearby villages shall be hired. Therefore, no temporary housing facility will be

required at or near well site for workers.

During operation phase:

Once drilling is over no person is required at site, except security cover through a

contractor. 03 security guards will be there.

5.3 LAND USE PLANNING (BREAKUP ALONG WITH GREEN BELT ETC)

During Drilling : 15,000 m2

During operation: 900 m2

33 % of green belt area will be provided during operation phase.

5.4 ASSESSMENT OF INFRASTRUCTURE DEMAND (PHYSICAL & SOCIAL)

Existing roads and infrastructure will be used.

No permanent housing will be developed there.

D.G. set will be used during drilling and operation activity.

5.5 AMENITIES/FACILITIES

All the basic facilities like tap water, sanitation, drinking water and lunch space will be

provided within premises.

First aid box, free medicines & doctor service (on call basis) will be provided.

Adequate PPE‘s will be provided to all workers.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [28] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

6. PROPOSED INFRASTRUCTURE

6.1 INDUSTRIAL AREA (PROCESSING AREA)

Production Facility for Oil and Gas.

6.2 RESIDENTIAL AREA (NON PROCESSING AREA)

No

6.3 SOCIAL INFRASTRUCTURE

No.

6.4 CONNECTIVITY (TRAFFIC AND TRANSPORTATION: ROAD / RAIL / METRO /

WATER WAYS ETC)

Existing Road will be utilized.

No, major traffic is envisaged due to planned activity maximum 2-3 trip/day/well will

be required for transportation of Crude oil.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [29] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

7. REHABILITATION AND RESETTLEMENT (R & R) PLAN

Policy to be adopted (Central/State) in respect of the project affected persons

including home oustees, land oustees and landless laborers (a brief outline to be

given.

No permanent acquisition of land for the project. The area required for drilling

operation will be temporarily taken on lease for few months and if there is discovery

of Oil or Gas then it will be converted in to long time lease of 20 years.

Adequate compensation will be paid regularly to the land owners as per GoG policy.

Providing direct/indirect employment.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [30] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

8. PROJECT SCHEDULE & COST ESTIMATES

8.1 LIKELY DATE OF START OF CONSTRUCTION AND LIKELY DATE OF

COMPLETION (TIME SCHEDULE FOR THE PROJECT TO BE GIVEN)

After acquiring requisite clearances.

8.2 ESTIMATED PROJECT COST ALONG WITH ANALYSIS IN TERMS OF

ECONOMIC VIABILITY OF THE PROJECT

Approximately INR 5.50 crore per drilling of 1 well.

Approximately INR 0.15 crore per EPS for operation phase.

Either new EPS will be developed or existing well site will be utilized, upon discovery

of oil.

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PRE-FEASIBILITY STUDY REPORT

Project Name: PAN INDIA CONSULTANT PVT. LTD. [31] Prepared By: ENVIROCARE TECHNOCRATS PVT. LTD.

9. ANALYSIS OF PROPOSAL (FINAL RECOMMENDATIONS)

9.1 FINANCIAL AND SOCIAL BENEFITS WITH SPECIAL EMPHASIS ON THE

BENEFIT TO THE LOCAL PEOPLE INCLUDING TRIBAL POPULATION, IF ANY,

IN THE AREA

Employment will be generated.

Maximum local peoples will be hired.

No tribal population exist within 10 km of each well.