Chinese Team Concludes Drilling Phase in Dailekh for Petroleum Exploration

A team of Chinese technicians has returned to China with samples obtained from petroleum exploration drilling conducted in Jaljale, Bhairavi Rural Municipality of Dailekh district.

The drilling operation, which began in May last year, reached a depth of 4,013 meters. Geologist Prakash Luintel of the Department of Mines and Geology explained that samples of soil and gravel were collected every two meters during the drilling process. The collected samples, categorized as source rock, reserve wire, and seal rock, have been transported to China for further analysis.

Out of the 35-member Chinese team, 15 technicians remain at the Jaljale site, while the rest have returned home with the samples. Luintel noted that work related to gas storage and further processing for potential extraction is expected to begin in three months.

In the initial phase, the Chinese team conducted a field study in Dailekh to identify potential petroleum reserves. Based on their findings, ring houses were constructed, and drilling commenced.

The next steps involve confirming the presence of mineral reserves at the research site. Once verified, a financial assessment will be conducted to pave the way for production-related activities, Luintel added.

The project was initiated under an agreement between Nepal and China signed on February 28, 2019, to conduct research and feasibility studies in Dailekh within three years. However, progress was delayed due to the COVID-19 pandemic. The exploration project is being carried out with a financial grant of Rs 2.5 billion from the Chinese government.

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