Ruias-led Essar Exploration & Production Limited (EEPL) and Italian oil major ENI have discovered the presence of gas and condensates in the Ken Bau prospect at Block 114, Song Hong Basin, Offshore Vietnam.

ENI Vietnam is the operator of the block with 50% participating interest while EEPL holds the remaining 50%.

Confirming the discovery, ENI in a statement said, “Its exploration well located at Block 114, Song Hong Basin, offshore Vietnam, has proven the presence of gas and condensate in the Ken Bau prospect. The well result indicates a significant potential of the hydrocarbon accumulation.”

The exploration well Ken Bau 1X has been drilled at a depth of 95 m below water level, and reaches a total depth of 3,606 m, encountering several intervals of gas and condensate sandstone interbedded with Miocene age shale, with an estimated net reservoir thickness in excess of 100 m.

Ken Bau 1X well was plugged and abandoned ahead of the original plan due to certain technical issues, prior to reaching deeper levels that could hold significant additional resources.

“ENI is already planning to start a drilling campaign early next year to fully assess the substantial upside of the discovery,” said the statement adding that Ken Bau 1X results represent a significant breakthrough for evaluating the exploration potential in the Song Hong Basin.

Mauritius-based EEPL has so far invested over $1.1 billion in the exploration & production business in Vietnam, Nigeria and India.

Company’s unconventional Hydrocarbon acreages in India are through wholly owned subsidiary Essar Oil and Gas Exploration and Production Limited ( EOGEPL)

EOGEPL’s Raniganj CBM asset in West Bengal is the first CBM asset in India to cross the threshold of 1 million cubic metres per day of gas production.