Reliance Industries found huge natural gas reserves in the very first well it drilled, which subsequently proved to be the world's second largest deepwater discovery in the last decade.
$5.2bn will be spent on gas production, while a larger chunk of $7bn on building gas pipes.
Reliance Industries, which has discovered gas reserves of nearly 14 trillion cubic feet in the Krishna-Godavari basin off the coast of Andhra Pradesh, is building a gas-receiving jetty in Kakinada.
Reliance Industries Ltd has found new natural gas reserves in Krishna Godavari basin D6 block off the east coast, the company's minority partner Niko Resources has said.
India's east coast is emerging as one of the hydrocarbon hotspots in the world with 100 trillion cubic feet of gas and two billion barrels of oil in place.
Oil and Natural Gas Corporation said on Wednesday it will begin production from its ultra deep sea gas discovery in the Krishna-Godavari basin off the east coast by 2012-13.
Bharat Petroleum Corporation lans to invest around Rs 6,000 crore (Rs 60 billion) in the exploration and production business over the next few years.
Oil and Natural Gas Corporation and Mukesh Ambani-controlled Reliance Industries may tie up to build a common gas processing unit as the two firms have discovered huge reserves in the Krishna-Godavari basin
In an attempt to hold on to its exploration blocks in the Krishna-Godavari basin, Oil and Natural Gas Corporation is in talks with British Gas (BG) and British Petroleum (BP) for joint exploration in four offshore blocks in the region.
Reliance Industries Ltd will invest $8.84 billion in producing 80 million standard cubic meters per day (mmscmd) of gas from its KG-D6 block in Krishna Godavari basin.
1,400 km pipeline will transport gas from KG basin to west coast.
The fertiliser and power companies say that the cost of gas would be too high, making operating on gas economically unviable.
\nRIL had earlier proposed investment of $2.47 billion to produce 40 mmscmd for 7.5 years from discoveries -- Dhirubhai 1 and 3 (in the D6 block) -- out of a total 34 wells.
Higher price will lead to hike in fertiliser subsidy while a lower price will hit returns.
The Norwegian company, which has already taken a 10 per cent stake in the KG-DWN-98/2 block, has the right to double its interests before the gas discoveries are put to production but it is now keen on operatorship and a higher stake in the block, company sources said. ONGC is in dire need of deep water production technology and is likely to agree for a joint operatorship of the block but is not willing to give 30 per cent stake in Norsk Hydro.
The company is in advanced talks with Hindustan Petroleum Corp, Chennai Refinery and Kochi Refineries for sale of 34,000 barrels per day of oil it will start producing from the gas-rich KG-D6 block on Krishna Godavari basin from September. The company is investing $2.234 billion in developing the MA-1 and MA-2 oil fields in the predominantly gas-rich block.
The government on Thursday hiked by 62 per cent the price of natural gas that is used to produce electricity, make fertilisers and turned into CNG to use as fuel in automobiles and cooking gas for household kitchens. This is the first increase in rates since April 2019 and comes on back of firming benchmark international prices but does not reflect the spurt in spot or current price of liquefied natural gas (LNG) witnessed during the last couple of weeks. The oil ministry's Petroleum Planning and Analysis Cell (PPAC) said the rates paid for gas produced from fields given to state-owned Oil and Natural Gas Corporation (ONGC) and Oil India Ltd (OIL) will be $2.90 per million British thermal unit for the six-month period beginning April 1.
Reliance Industries Ltd, which recently demerged its overseas oil and gas projects, is debating hiving off its giant Krishna-Godavari gas field, but ruled out talks for inducting US energy major Chevron as equity partner.
Anil Ambani-owned Reliance Energy has approached state-owned gas utility GAIL (India) Ltd for transportation of gas to its proposed 4,000 MW power plant at Dadri.
Oil and Natural Gas Corporation has discovered natural gas reserves in Krishna Godavari basin off the Andhra coast, Minister of State for Petroleum and Natural Gas Dinsha Patel said on Tuesday.
Reliance Industries Ltd has discovered huge oil reserves in its gas-rich D6 block in Krishna Godavari basin off the east coast, its minority partner Niko Resources of Canada has said.
BG Group of UK is planning to buy stake in ONGC's oil and gas blocks.
The new year promises to be a busy year with brand new airports in Hyderabad and Bangalore, the launch of the Rs 1-lakh-car, unlocking of the gas riches in the Krishna-Godavari basin, and Jamnagar housing the world's biggest refinery complex.
Mukesh Ambani-led Reliance Industries Ltd announced on Tuesday a new crude oil discovery in the Krishna Godavari basin off the Andhra Pradesh coast.
Anil Ambani Group firm Reliance Fuel Resources Ltd has sought government permission to lay a Rs 16,000-crore (Rs 160 billion) pipeline to take natural gas from Reliance Industries-operated field off the Andhra coast to its power plant at Dadri in UP.
Reliance Industries Limited has made two natural gas discoveries on the east and west coast adding to the vast hydrocarbon reserves it has found in the past few years.
British energy firm Cairn Energy on Wednesday said its oil and gas operations in offshore Andhra Pradesh have not been affected by the Tsunami tidal waves caused by a massive earthquake.
Oil and Natural Gas Corporation has made a huge gas find in the Krishna Godavari-Basin, ONGC Director Offshore Operations N K Mitra said in New Delhi on Friday.
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