Selan Exploration Technology Ltd. has successfully commenced gas production from the Mukkamala Field located within the Dangeru Contract Area in the Krishna-Godavari (KG) Basin, marking a significant milestone in the company’s strategic expansion beyond its traditional Cambay Basin operations.
This development is Selan’s first production initiative outside the Cambay Basin and follows the company’s recent merger with Antelopus Energy Private Limited. The merger, approved by the Hon’ble National Company Law Tribunal on June 10, 2025 (and rectified on July 1, 2025), granted Selan 100% participating interest in the Dangeru Contract Area.
Strong Initial Output and Growth Potential
Production was initiated following a successful workover and hydraulic fracturing of the Muk-1 well, targeting the prolific Raghavapuram Shale reservoir.
Key highlights include:
- Initial tested flow rate: ~0.5 million standard cubic feet per day (MMscfd), or ~80 barrels of oil equivalent per day (boepd), at approximately 5,000 psig wellhead pressure and minimal choke.
- Estimated single well potential: Over 6 MMscfd (~1,000 boepd) based on current performance.
The produced gas is now flowing through an existing ONGC pipeline connected to ONGC’s Pasarlapudi gas processing facilities. From there, gas is being delivered to end-users via GAIL’s pipeline network in the onshore KG Basin.
Selan plans to ramp up production in the near term using this existing infrastructure, while longer-term strategies include developing new facilities to expand output and enhance resource monetization.
About the Dangeru Contract Area
Spanning approximately 140 square kilometers, the Dangeru Contract Area comprises two gas discoveries — Mukkamala and Dangeru — both awarded under the Government of India’s Discovered Small Field Policy (DSF-III) on September 9, 2022. The Petroleum Mining License (PML) for the region was granted on February 6, 2025.
Selan’s current success at Mukkamala signals a strong start to its operations in the KG Basin and underscores the company’s ability to execute technically challenging projects outside its historical core area.
Strategic Growth and Shareholder Value
“This achievement showcases Selan’s operational capabilities beyond the Cambay Basin and reinforces our commitment to strategic growth, efficient resource development, and long-term value creation for our shareholders,” the company said in a statement.