Gujarat State Petroleum Corporation is planning to invest $1 billion for the development of its Deen Dayal block in the Krishna-Godavari Basin. where it has estimated gas reserves in excess of 20 trillion cubic feet (tcf).

The company is exploring various ways, including accessing the overseas market, to raise these funds. For its ongoing drilling and testing programme in part of the Deendayal block, GSPC needs Rs.3,000 crore, which has already been tied up.

GSPC is also in the process of finalising its partner for KG basin development, for which it has appointed UBS Warburg as advisor.

GSPC has just completed drilling of its fifth well (KG 15) to a depth of 5,669m. This is part of the 14-well drilling programme committed by the consortium of GSPC, Jubilant Energy and GeoGlobal Resources Inc under the terms of the production sharing contract relating to the KG-OSN-2001/3 Block in the KG basin.

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GSPC to finalise partner for Deen Dayal gas block (11-Aug-06)