Cairn said the gas found at Raageshwari-5 well was in a “conventional reservoir in the Fategarh formation” and not in non-conventional volcanic reservoirs as has been previously prevalent. The well was drilled to a depth of around 3,000 metres and will be tested once all drilling operations are completed.

According to Cairn, a “volumetric assessment of the new Raageshwari discovery” needs to be done before the size and extent of the gas column can be accessed and this, according to the firm, will require the drilling of an exploration well.

Cairn chief executive Bill Gammell said, “The initial evaluation of this Raageshwari Fategarh gas discovery is encouraging but further evaluation and appraisal work will be required before understanding its full significance.”

Meanwhile, Cairn has also announced the securing of a further extension to its onshore acreage in the area. The Indian government has given the green light to company to explore for oil and gas in an additional 856 sq km extension to its block which is adjacent to its recent NV discovery.

The extension runs until the middle of May and Cairn intends to conduct “seismic survey and drilling in the area” once it gets all the necessary permission from the Rajasthan state government.