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Experts say the natural gas discovered at Jaljale in Bhairabi Rural Municipality–1 of Dailekh can be used not only for cooking but also as an alternative fuel for vehicles.

Prakash Luitel, information officer at the Department of Mines and Geology (DMG) and a member of the petroleum exploration project, said the methane-rich gas could potentially substitute petrol and diesel.

“In India, methane gas is already being used in vehicles as an alternative fuel. The natural gas found in Dailekh appears suitable for similar use,” Luitel said.

If commercially viable, the gas could help reduce Nepal’s fuel import bill, which currently amounts to billions of rupees annually.

The Government of Nepal and the Geological Survey of China signed an agreement worth Rs 2.40 billion for petroleum exploration with Chinese financial and technical assistance. The Chinese team conducted seismic, geological, magnetotelluric and geochemical surveys beginning in September 2019.

According to the final exploration report submitted by the China Geological Survey, Jaljale contains an estimated 80.7 billion cubic meters of natural gas. Earlier preliminary estimates had put the figure at 1.12 billion cubic meters.

The government has requested further Chinese assistance to conduct production testing. DMG officials said commercial extraction would require advanced techniques, including rock fracturing and well testing.

“While the reserve size has been confirmed, actual commercial viability will only be determined after well testing,” Luitel said.

Officials said the gas could be distributed through pipelines or in redesigned cylinders. In the next phase, specialized equipment will be installed to fracture rock formations and extract gas, followed by laboratory testing of its composition before commercial production decisions are made.

By Bhuwan Sharma