Asian Energy Services Limited on Saturday said it made a new oil discovery at its onshore Mevad field in Gujarat, following the drilling and testing of a new well that has demonstrated potential peak production of around 125–130 barrels of oil per day (bopd).
The discovery was made from well NM-01, which was drilled to a total depth of 1,650 metres, the company said.
The well encountered three hydrocarbon-bearing sand intervals — Mandhali, Sobhasan and Kalol — which are being evaluated sequentially, it added.
During the ongoing testing phase, the well is currently producing around 100 bopd from the Sobhasan sand. The company said that test data indicate that production rates could rise to approximately 125–130 bopd. The Kalol-III reservoir has also shown hydrocarbon indications based on logs and cuttings, and testing of this interval is planned at a later stage, it stated.
“Oil produced from the Mevad well will be supplied to domestic refineries under offtake arrangements. Crude pricing will be linked to the Brent benchmark, ensuring market-aligned realisations,” said Kapil Garg, MD, Asian Energy Services Ltd.
Under the revenue-sharing contract for the block, Asian Energy holds a 50 per cent participating interest. In contrast, Oilmax Energy Private Ltd holds a 10 per cent participating interest, with the remaining stake held by other partners.
Field partners are expected to drill additional wells to evaluate the lateral extent of the oil pool and assess the reservoir’s overall development potential.
The company said the discovery is expected to add incremental cash flows and aligns with its strategy of disciplined, low-cost resource development.
The find also provides Asian Energy with additional domestic oil production exposure with pricing linked to international benchmarks.
