Cairn Oil & Gas signs contract to hire Parker Wellbore's drilling rig

Cairn Oil & Gas, part of Vedanta Group and India's largest private oil and gas exploration and production company, has entered into an agreement to hire a high performance 2000 horsepower drilling rig from Parker Wellbore, recently acquired by Nabors Industries - a global technology provider. The pact will help expand the company's oil and gas exploration and production operations in India, the firm said in a statement.

Cairn "will deploy this state-of-the-art rig in Barmer, Rajasthan - the company's largest onshore producing asset in India, this month," it said. "This deployment aligns with Cairn's ongoing efforts to increase production and support its exploration initiatives in the region."

Recently at CERAWeek 2025, Vedanta chairman Anil Agarwal shared the company's plan for India's energy sector growth. The company will be investing in brownfield projects to add 5 billion barrels of oil equivalent reserves, and produce 500,000 barrels per day at a cost of USD 5 per barrel, the statement said without giving timelines.

Hitesh Vaid, Chief Financial Officer at Cairn Oil & Gas, stated, "Cairn is leading large investments to accelerate exploration of unconventional resources in India. Through our collaboration with proven global partners, we are unlocking the untapped potential of oil & gas resources in the country. This strategic partnership with Parker Wellbore will enable us to start drilling within the next few months, further enhancing our operational performance and contributing to our growth in line with our vision to grow production."

Cairn has in its portfolio a "proven petroleum system with high-quality source rock, multiple grabens with oil and gas plays in rift set up and limited areal extent with a gross thickness of 500 meters," the statement said, adding that drilling of one well in oil play has provided evidence of the system's viability for further exploration and development.

Cairn, which produces about a quarter of the nation's domestic oil production, is targeting growth projects such as deepwater, tight oil, shale, and northeast exploration among others to enhance production from its diversified portfolio.

The company is on the lookout for partnering with global oil and gas companies with expertise in such growth projects, the statement said.

Cairn holds interest in 62 blocks in India spread over 60,000 square kilometres with gross 2P (gross proved plus probable reserves) and 2C (gross contingent reserves) of 1.4 billion barrels of oil equivalent. Cairn has producing assets across Rajasthan, Andhra Pradesh, Gujarat, and Assam.