The Hindu Business Line : Mukesh Ambani calls for convergent energy view

The details
Gas from the KG basin would first be offered to consumers in Andhra Pradesh.
There was potential to tap nuclear energy but this called for a concerted effort to step up mining related activity to meet the growing demand.

EXPLORATION STORY: Mr Mukesh Ambani, Chairman of Reliance Industries, addressing a press conference at the international seminar on Exploration Geophysics in Hyderabad on Wednesday. Also seen are Mr Anil Kakodkar (left), Chairman, Atomic Energy Commission, and Mr R.S. Sharma, Chairman and Managing Director, ONGC. - Satish H.

Hyderabad , Nov. 8

The Chairman of Reliance Industries Ltd, Mr Mukesh Ambani, today called for a convergent energy view and announced a move to partner with ONGC to set up a School for Geophysicists in Hyderabad.

While sharing infrastructure, RIL was keen to work collaboratively wherever possible, he said.

Mr Ambani said gas from the KG (Krishna-Godavari) basin would first be offered to consumers in Andhra Pradesh. After meeting local requirements, they would supply it to others. Reliance had hinted that the KG basin could begin production and supply early 2008.

"We have committed billions of dollars for oil and gas exploration from the RIL balance sheet and are committed to develop and tap into huge resources available offshore. The terrain is hostile and there is more potential for discovery," he said.

Training institute

Addressing a press conference here at the International Meet on Exploration Geophysicists, Mr Ambani said, "There is demand for specialised professionals in the oil and gas exploration and mining sector in the country and Andhra Pradesh. To partially meet this demand, ONGC and RIL have decided to set up a training institute for exploration and geophysicist professionals."

However, details of the proposed institute and the investments and the timeline were not disclosed.

On a query related to Reliance hiking exploration costs, Mr Ambani said, "KG Basin and areas in the East promise huge opportunity for production of gas and the effort is now being directed to build capacity in the region. We will work on increasing the overall productivity and offset the production cost by stepping up volumes and strive hard to make overall production economical."

Fuel options

Referring to other fuel options, Mr Ambani said there was potential to tap nuclear energy but this called for a concerted effort to step up mining related activity to meet the growing demand. "We are faced with under explored minerals sector," he said.

The Indian story of exploration is unfolding and has an extremely promising future. Referring to Cairn's Energy's Dr Mike Watts' observation of `Team India" having the capability to make a difference in terms of overall oil and gas exploration, he said, "We shared similar sentiment and would be open to collaborative initiatives, including with ONGC."

Earlier delivering his keynote address, Mr Ambani called, "for an integrated energy view for homogeneous energy needs. Ideally, we should aim at a zero dependency on the external world and evolve a coherent environment matrix. Unless we plan on a large format in an overreaching manner, India will perpetually be in a catch up mode in energy security."

More Stories on : Petroleum | Reliance Industries Ltd

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page