Jubilant Reaches TD at Golaghat Well

Jubilant Reaches TD at Golaghat Well

Monday, April 18, 2011
Jubilant Energy N.V.

Jubilant announced that the P-16-1 well, which was spudded on March 20, 2011 in the Golaghat Block (AA-ONN-2003/1), reached a total depth of 1625 meters. The well encountered a granitic basement from 1555 meters onwards.

The well tested a NE/SW fault prospect and was drilled through all the potential reservoirs that were previously identified at this location. Based upon drilling, electric logs and MDT data, no hydrocarbons were encountered in the well. The well is thus being prepared to be plugged and abandoned.

The drilling of the well was completed under budget and without any health, safety and environmental incidents.

The execution of the remaining work program comprising of six additional exploratory wells will be finalized on obtaining forestry land approval.

Jubilant through its subsidiary, Jubilant Oil and Gas Pvt Limited, holds a 10% participating interest in this block and is the Operator. Jubilant Securities Private Limited (JSPL), a company in the wider Jubilant Bhartia Group, also holds 35% participating interest in this block. Jubilant, through its subsidiary, Jubilant Energy (Nelp-V) Pvt Limited, has entered into a business transfer agreement dated 1 April 2007 with JSPL for acquiring its entire stake in the block. This transfer is subject to, inter alia, the parties obtaining consents from various third parties, including the management committee under the relevant Production Sharing Contract and the Government of India.

The other partners in the acreage are Gujarat State Petroleum Corporation Limited with 20% and GAIL India Limited with 35% Participating Interest.