MINUTES OF MANAGEMENT COMMITTEE MEETING FOR BHANDUT FIELD

VENUE: DGH SECTOR 73 NOIDA, DATE: 17.05.2022

Operator: Kiri & Company Logistics Pvt. Ltd.

MC Member
st
1. 1 Govt. Nominee (DG-DGH)-Chairman MC
2. 2nd Govt. Nominee JS ()-MOPNG-MC Member
3. Kiri & Company Logistics. Pvt Ltd. – MC Member

S. No. MC Agenda Views of the MC Members MC Decisions

1.0 Proposal for Contractor’s View: Management Committee
approval of Contractor has submitted an OC approved application dated 22.09.2017 for 10 years PSC extension approves the proposal of Revised
Revised Field along with revision to Bhandut FDP. Contractor has submitted a Field Development Plan to maximize Field Development Plan (RFDP) of
Developmen recovery from Miocene Reservoir for optimum exploitation of the field, a development strategy has Bhandut Field with following
t Plan (RFDP) been devised. The field will be developed by drilling 3 additional development wells. parameters:
for the Development Strategy Sand OIIP GIIP
extension of Miocene 3 New Wells (3 (MMBBL) (BCF)
PC under the Reservoir Vertical) G- 5.026 1.72
policy for Total 3 Sand
Extension of The Summary of the estimated In-Place Hydrocarbons, Reserves, Contingent and Prospective
PSC for Resources in accordance with SPE Reserves Auditing Standards  Recoverable Reserves
small, (2P) (as on 01.08.2017):
medium BHANDUT RESERVES & RESOURCES San Oil / Gas
sized and d Condensate (BCF)
discovered Reservoi In-Place 2P Reserves 2C Contingent 2U Prospective (MMBBL)
fields r Gas Oil Gas Oil/ Gas Oil/ Gas Oil/ G- 0.313 0.659
announced BCF MMBB (BCF Cond (BCF) Cond (BCF Cond San
by the CCEA L ) (MBBL) (MBBL) ) (MBBL) d
on 28th Miocene 3.8 6.5 0.66 307 0.10 6.24 0.25 77.27
March 2016. 6 5  Reserves (2P) upto Oct
Total Capex for development is US$3.02MM. 2029: 0.41 (8.2% of 5.026
Contractor request MC to approve the Field Development Plan and accordingly grant PSC extension. MMBBL) Oil/Condensate
+ 0.801 BCF Gas.
S. No. MC Agenda Views of the MC Members MC Decisions
DGH/MoPNG’s views:  Wells: 3 new
 The in place volume is reviewed as: wells
Sand OIIP (MMBBL) GIIP (BCF)  MC directed the
G-Sand 5.026 1.72 operator to
undertake all
 The 2P reserves are as per reserve audited report is reviewed and are as below: efforts to
Sand Oil/Condensate Gas (BCF) maximize the
(MMBBL) recovery factor.
G-Sand 0.314 0.659  MC directed to
deposit adequate
 The production profile has been revised by operator as per annexure-1 and is approved.
SRF before the
 The drilling of 3 wells namely GP-4, GP-5 and GP-2 has been agreed.
granting of
The economic viability of agreed DGH profile has been evaluated as below:
extension.
 The contractor is
Capex Crude Gas Capex Opex Statutory NPV NPV liable to submit
Revenu Revenue Levies (with (without BG.
e Statutory Statutory Production profile as in
levies) levies) Annexure-I.
Considering only
Development Capex
Crude Price per barrel at 15.69 2.12 3.02 4.19 5.96 3.30 8.35
US$ 50
Gas Price per MMBTU at
US$ 2.89 GCV/3.21 NCV
Crude Price per barrel at 18.83 2.56 3.02 4.19 7.16 5.32 11.37
US$ 60
Gas Price per MMBTU at
US$ 3.5 GCV/3.89 NCV
Crude Price per barrel at 21.97 3.29 3.02 4.19 8.38 7.54 14.64
US$ 70
Gas Price per MMBTU at
US$ 4.5 GCV/5 NCV
S. No. MC Agenda Views of the MC Members MC Decisions
2.0 Proposal Contractor’s Views: MC recommends
for PSC Contractor submitted the application for extension of Bhandut PSC for 10 years from the PSC expiration contractor’s proposal for
extension date of 22.09.2019. Following are the acceptability statement of the contractor: PSC extension of Bhandut
of Bhandut S. N Description Compliance/Acceptability by field for 10 years subject
field for 10 Contractor to the condition of
years, 1 Submission: The application duly approved by OC should be Complied. extension of PSC being
under the submitted at least 2 years in advance before the expiry date On 22.09.2017, Contractor granted by the
policy for of the Contract, but not more than 6 years in advance. submitted the applications for Government under the
extension minimum 10 years of extension policy dated 28.03.2016
of PSC for of the Bhandut field PSCs and contractor deposits
small, including all the required adequate SRF.
medium reports.
sized and 2 Valid Mining Lease: Proposal for extension to be submitted Complied.
discovered for the area having Valid ML. The contractor has submitted
fields RFDP for field covering area of 6
announced sq km.
by the 3 Third Party Reserves Audit Report: Contractor to Complied.
CCEA on demonstrate availability of balance recoverable Reserves As per the DGH requirements,
28th March Through a Third Party Reserves Audit Report and if the the Reserves of the Bhandut
2016. remaining 2P/P50 (2P/P50 reserves implies proven plus Field were audited by GERMI,
probable reserves having a 50% certainty of being produced) Gandhinagar Gujarat in
recoverable reserves [Oil+ Oil Equivalent of Gas (O+OEG)] accordance with PRMS
guidelines.
4 Technical expertise: Operator should submit proof of Complied.
technical expertise, while submitting the application. With In-house expertise form
Corporate Office, Kiri have
carried out apparent technical
activities at Bhandut field for
enhancement of production.
5 Past Performance: (a) Contractor while submitting the Complied.
application should submit cumulative achievement of drilled Cumulative Achievement for
wells and production (planned vs actual) since inception. drilling of wells: 3 wells