Mercator Petroleum Limited Commenced Oil Production from 1st well in the Cambay basin
Deepthi | Myequity news | Date : 24-09-2018 10:30:00 IST
Mercator Petroleum Limited, a Subsidiary of Mercator Ltd starts oil production and dispatch from its 1st well, Jyoti-1 as part of in their EWT CB-ONN-2005/9 oil block in the Cambay basin.
The Company began mobilizing the Jyoti-1 well in August 2018, after receiving the mining lease in June 2018 for a period of 20 years. The Company has signed a MoU with the Indian Oil Corporation for sales of its crude oil, at benchmarked rates. About Mercator Limited:
The Company is expected to ramp up the production significantly in the coming months, as it brings the second well, Jyoti-11 under production. Mercator Petroleum has an approved Field Development Plan for 23.79 million barrels of proven high-quality oil in the highly prolific the Cambay basin.
The oil block produces light sweet crude oil; the Company aims to close FY19 at a production rate of ~5,500 barrels of oil per day. The Company expects the reserves to increase significantly as it enters the second phase of exploration. The oil & gas segment is expected to be Mercator's largest growth driver FY20 onwards, with ~35% ofFY20's EBITDA contribution coming from oil &gas.
Mercator Limited is an Indian company. It was earlier known as Mercator Lines Ltd. The Mercator group of companies has diversified business interests in Coal, Oil & Gas, Commodity Transportation, and Dredging. Mercator Limited (formerly Mercator Lines Ltd.) is the parent company and is the second largest private sector shipping company in India, and it is based in Mumbai. It has recently forayed into the Offshore business with its subsidiaries Mercator Oil and Gas Ltd and Mercator Offshore Ltd.