KOLKATA: The investment worth Rs 3,000 crore for coal-bed methane (CBM) output from the Ranigunj block by Essar is in dire need of more land.
Essar Oil Project Director Shashank Shekher said, “We need around 1,000 acres to drill 500 wells, which we plan to do in the next 18 months.” The firm has 180-acres land and so far drilled 85 wells for exploration.
The firm has been witnessing hurdles issues in direct negotiations with the farmers and pricing.
The state government decided not to purchase land for any project.
Presently, Essar manufactured 28,000 standard cubic metre of gas per day and its optimum projection stood at one trillion cubic metre per day when optimum wells start output.
The firm's debt stress was not expected to have any affect on the development of the project.
The state government has urged for CBM gas for transport and power sector.