Reliance, BP sanction satellite field development
NEW DELHI: Reliance Industries and partner BP Plc on Thursday announced the sanctioning of another project to develop satellite gas fields in the KG-D6 block in an effort to reverse the flagging output. According to a joint statement from the two firms, the combine is set to develop a cluster of four gas discoveries in the Krishna Godavari basin block by 2020-22.
“The ‘Satellite cluster’ is the second of three projects in the Block KG D6 integrated development. The first of the projects, development of the ‘R-Series’ deep-water gas fields, was sanctioned in June 2017,” the statement said adding, “together the three projects will develop a total of about 3 trillion cubic feet of discovered gas resources with an investment of Rs 40,000 crore.
They are expected to bring a total 30-35 million cubic metres a day (mmscmd) new domestic gas production onstream, phased over 2020-2022.” RIL is the operator of block KG-DWN-98/3 or KG-D6 with a 60 per cent stake while UK’s BP Plc holds 30 per cent, and Niko Resources of Canada the remaining 10 per cent. The partners have been focusing on developing R-Series, satellite cluster and MJ (D55) deep discovery to revive the flagging output at the block.“This development supports India’s imminent need for increasing domestic gas supply and is a firm step towards making the country a gas-based economy,” Mukesh Ambani, chairman and MD of RIL, said.