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Mumbai , Nov 21

RELIANCE'S largest gas field — the D-6, situated off the country's east coast - holds lesser gas reserves than earlier announced, says the company's partner Niko Resources.

The field holds 8.6 trillion cubic feet (tcf) gas instead of the earlier claimed figure of 9.9 tcf reserves. The 8.6 tcf includes 2.5 tcf proved, 3.4 tcf probable and 2.6 tcf possible reserves.

A news release posted on Niko's Web site says consultants DeGolyer and MacNaughton (D&M) "made an arithmetical error" in its March 31, 2003 report announcing reserve estimates for D-6.

Reliance, the operator of D6, had in an earlier press release said: "The estimated reserve of natural gas in the deep-water block D6 in the Krishna Godavari basin off the Andhra Pradesh coast is approximately 14 tcf, equivalent to about 2.3 billion barrels or 300 million tones of crude oil. These discoveries are capable of producing in excess of 60 million standard cubic meters of gas per day." The revised report puts Reliance's total proven gas reserves as at March 31, 2003 at 360.2 billion cubic ft (bcf) against 424.4 bcf as previously announced, the release said. Total proven and "unrisked" probable reserves as at March 31, 2003 were 686.2 bcf against the 707.3 bcf.

Niko's 10 per cent share of recoverable gas from the field has been put at 710 bcf against the previously announced 810 bcf.

However, the revised report issued on November 12, 2003 "does not include results of the A2 well whose evaluation was in progress at the time of the report. In addition, D&M has used a smaller spacing unit in assigning reserves, which has resulted in re-categorizing a portion of the probable reserves from D&M's earlier report to proved reserves. D&M have also determined that it is appropriate to use a higher recovery factor," the release says.

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