IOC, BPCL Tap Abu Dhabi for Fresh Oil Discoveries, Bolstering India's Energy Goals
Overview
Indian Oil Corporation and Bharat Petroleum Corporation's joint venture has announced new oil discoveries in Abu Dhabi's Onshore Block 1. These finds in two exploratory wells mark a crucial expansion of their overseas upstream operations and significantly bolster India's long-term energy security.
New Discoveries Bolster India's Energy Security
Indian Oil Corporation Ltd. (IOC) and Bharat Petroleum Corporation Ltd. (BPCL) have announced fresh oil discoveries in an onshore exploration block in Abu Dhabi. The finds, made by their joint venture Urja Bharat Pte Ltd (UBPL), represent a significant expansion of their international upstream footprint and bolster India's energy security.
Joint Venture's Strategic Expansion
UBPL struck oil in a second exploratory well, XN-79 02S, following an initial discovery in XN-76 earlier in 2024. The companies have invested nearly $166 million in the exploration phase for Onshore Block 1, which covers over 6,000 square kilometers and grants UBPL 100 per cent concession rights.
First Finds in Key Reservoirs
The initial discovery in the XN-76 well confirmed unconventional oil resources in the Shilaif play. The latest find in XN-79 02S marks the first oil discovery in the Habshan reservoir within the concession area. Both discoveries will now undergo appraisal to assess their economic viability and potential for commercial development.
Future Appraisal and Development
These twin discoveries are deemed an important milestone for IOC and BPCL as international upstream operators. The finds will contribute to strengthening India's energy security over the long term. UBPL is advancing towards the development of existing fields and exploring other potential hydrocarbon prospects within the concession area.
