Reliance Industries on Monday said it has no plans to spin off its Krishna Godavari gas field into a separate company and rope in a strategic partner.
State-owned Oil and Natural Gas Corporation has made a significant gas find off the Andhra Pradesh coast.
Reliance Industries plans to invest $200 to 250 million during the current fiscal in drilling new wells at its D6 gas block in Krishna Godavari basin, off the Andhra coast.
Reliance Industries may sell one-fourth of the 40 million standard cubic metres per day of natural gas production likely from its gigantic Krishna Godavari field off the Andhra coast to Dabhol Power project in Maharashtra after its revival.
Reliance Industries has stumbled upon significant gas reserves in the sixth well it has drilled in the Krishna-Godavari basin block where it had earlier discovered seven trillion cubic feet of gas reserves.
Reliance Industries has made two more gas discoveries at its prodigious D6 and NEC-25 blocks off the east coast, the company's junior partner Niko Resources of Canada announced.
The Cabinet on Thursday approved ONGC's proposal to acquire Cairn Energy's stake in two gas blocks for $135 million.
The blocks on offer include one in the prospective Krishna-Godavari basin in the Bay of Bengal, where Reliance Industries found a large field with estimated reserves of 14.5 trillion cubic feet of gas last year.\n\n\n\n
RIL and its partners BP Plc of UK and Canada's Niko Resources had last month spud the seventh well on the MA oil and gas field in the KG-DWN-98/3 or KG-D6 block in the Krishna Godavari basin.
State-owned Oil and Natural Gas Corporation said on Thursday that it has discovered gigantic oil reserves, west of the Vasai gas field, off the Mumbai coast.
RIL and its partners BP plc of UK and Canada's Niko Resources have spud the seventh well on the MA oil and gas field in the KG-DWN-98/3 or KG-D6 block in Krishna Godavari basin.
Britains' Cairn Energy has offered to sell its stake in two oil and gas blocks in Krishna Godavari basin to Oil and Natural Gas Corporation for $100 million and 15 per cent equity in state-run firm's two blocks.\n\n\n\n
Cairn Energy of UK will invest between $630 million and $859 million to develop its natural gas discovery in the deepwaters of Krishna Godavari basin, off the Andhra coast.
The stage for negotiations to settle the Krishna-Godavari basin dispute is long over, says a government official
Around 15 years ago, when Reliance Industries (RIL) struck natural gas in the Krishna-Godavari (KG) basin off the east coast, the government made plans to supply that fuel cheaply to scores of generators that sprang up in India triggered by the discovery. Most of the plants, which account for 6 per cent of India's total generation capacity, operate sparsely after the KG-D6 area first failed to meet production targets, and then finally shut shop. Affordable domestic gas was why those thermal plants came up and the rate of the fuel today is why those generators hardly operate. Record liquefied natural gas (LNG) rates may yet again unravel India's ambitions to expand use of gas in industries, households and vehicles. Rates, while volatile, may stay strong this decade as developed nations with higher purchasing power embrace gas as the transition fuel.
RIL and BP completed the initial exploratory work on the 21 blocks, but decided to retain only four of them.
ONGC has suffered a loss of over Rs 30,000 crore due to alleged siphoning off of natural gas by Reliance Industries Ltd (RIL) from the PSU's well in Krishna-Godavari (KG) basin and appointment of an experts body on the issue "will not help", the state-run oil firm said.
With two of its clusters - R-Series and Satellite Series - likely to start production in the next two years, the company looks to turn around production from this business.
Saurabh Patel, energy minister, Gujarat, who has handled the energy portfolio since 2002, speaks to Archis Mohan on GPSC's investment in the KG basin and says the criticism is politically motivated.
The approval is required to put through gas sales agreements with customers, which in turn are required to finalise Gas Transportation Agreements with transmission companies.
The KG-D6 fields, which began production in April 2009, hit a peak output of 69.43 mmscmd in March 2010 before water and sand ingress led to more than a third of the wells shutting down.
The Mukesh Ambani-led Reliance Industries Ltd (RIL) might take a write-down on the KG-D6 block.
Chances are any such disruption will not occur on the major shipping lanes but on some edge of the ocean between India and China. Even if there is no actual disruption, the costs of averting one can be punitive. The setting for this is provided by the energy shortage both countries face, says Subhomoy Bhattacharjee.
Post-cessation, activities related to the safe shutdown of the field are underway.
Sugarcane, which is grown by no more than 1.1 million farmers, consumes 70 per cent of water available in Maharashtra for irrigation. In contrast, about 10 million jowar, pulses and oilseeds farmers get only 10 per cent of irrigation water, points out Abhishek Waghmare.
Ministry returns guarantee saying new price has not been notified and RIL would have to submit surety as and when it is announced.
Reliance Industries Ltd (RIL) on Wednesday asserted in the Supreme Court that it did not receive any favour from the government in the contract for exploration of oil and gas from Krishna-Godavari basin.
"On the sensitive issue of the huge price rise demanded by natural gas exploring companies in the Krishna-Godavari basin, Modi tried to be evasive but indicated that if required the price may have to be increased," says the interviewer, Dilip Gohil.
RIL had drawn 58.67 bcm of gas from four wells.
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