Canadian company, Bengal Energy Ltd. has informed that it will be joining an Indian consortium for the purpose of exploration in the Cauvery basin of India.

Bengal Energy is into oil and gas exploration and production business and is based in Calgary.

Talking about the plan, head of the company, Chayan Chakrabarty said that it will be joining hands with Gas Authority of India (GAIL) and the Gujarat State Petroleum Corporation, for the purpose of this project.

The total area for exploration is going to be 234,000 acres of the Cauvery Basin.

Chayan also said the government of Tamil Nadu has already signed a formal agreement with the consortium. The duration of the agreement is four years.

GAIL will be the largest stakeholder in the consortium with 40 per cent followed by Bengal Energy and Gujarat Petroleum Corporation. The other two will have 30 per cent each.

As for the work, the plans are that in the first year, aggressive exploration of the 2,300 km of air-borne magnetometry will take place. Over and above, the re-processing of the 1,700 km of 2D seismic data will also be done.