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Cairn India's Investment Outlay of INR 1400 Cr Poised at Expanding Oil & Gas Carrying Capacity ?

News: 

Cairn India is set to expand its crude oil and natural gas carrying capacity by laying a new gas pipeline from its Barmer (Rajasthan) field with an investment outlay of Rs 1,400 crore.

Source : ET

SNP Insight:

The augumentation plans at Mangala Processing terminal will in turn help in meeting the demands of end users like Gas based Power Plants in the state of Gujarat as well as for city gas distribution. However amid these lies the concerns that the Raageshwari Deep Gas reserves which pegg to hold 1-3 tcf of gas in place are estimated to have a recovery factor of only 50%. So the estimated avaialibility of gas from the fields will only be answered in the due course of time. 

Source : SNP Infra Research