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Indian Oil Corporation Ltd. said successful testing has confirmed the presence of unconventional oil resources in Onshore Block 1 in Abu Dhabi, with the company expressing optimism over the well results and the potential to establish economic viability during the appraisal phase.
The discovery was made through Urja Bharat Pte Limited, the special purpose vehicle jointly operated by Indian Oil Corporation and Bharat PetroResources, a wholly owned subsidiary of Bharat Petroleum Corporation, in a 50:50 partnership.
UBPL was awarded the Onshore Block 1 exploration concession in early 2019 under Abu Dhabi’s 2019 bid round.
In early 2024, UBPL made its first oil discovery in the unconventional Shilaif play at the XN-76 exploratory well. Following successful hydrofracking operations, the well produced light crude oil at the surface from the Shilaif formation, establishing the presence of unconventional oil resources in the block.
UBPL has since reported another oil discovery during testing of the exploratory well XN79-02S in the same concession area. This well also flowed light crude oil, marking the first oil find in the Habshan reservoir within the block. The discovery will now be appraised and advanced towards potential development.
The company said these developments are encouraging and represent a huge milestone for both parent companies as international operators.
In addition, UBPL is progressing towards the development of the existing Ruwais field and continues to evaluate other hydrocarbon prospects within the concession.
Indian Oil Corporation shares were trading 0.01% lower on Wednesday at ₹157.38. The stock is down 6% so far in 2026.
The discovery was made through Urja Bharat Pte Limited, the special purpose vehicle jointly operated by Indian Oil Corporation and Bharat PetroResources, a wholly owned subsidiary of Bharat Petroleum Corporation, in a 50:50 partnership.
UBPL was awarded the Onshore Block 1 exploration concession in early 2019 under Abu Dhabi’s 2019 bid round.
In early 2024, UBPL made its first oil discovery in the unconventional Shilaif play at the XN-76 exploratory well. Following successful hydrofracking operations, the well produced light crude oil at the surface from the Shilaif formation, establishing the presence of unconventional oil resources in the block.
UBPL has since reported another oil discovery during testing of the exploratory well XN79-02S in the same concession area. This well also flowed light crude oil, marking the first oil find in the Habshan reservoir within the block. The discovery will now be appraised and advanced towards potential development.
The company said these developments are encouraging and represent a huge milestone for both parent companies as international operators.
In addition, UBPL is progressing towards the development of the existing Ruwais field and continues to evaluate other hydrocarbon prospects within the concession.
Indian Oil Corporation shares were trading 0.01% lower on Wednesday at ₹157.38. The stock is down 6% so far in 2026.
