The Hindu Business Line : Reliance submits dev plan for 8 more KG block discoveries

“The discoveries are adjacent to the Dhirubhai 1 and 3 gas fields that are currently under development,” said Canada's Niko Resources, which is Reliance's junior partner in KG-D6.

While Dhirubhai-1 and 3 discoveries are expected to start production by end September, it is intended that the eight satellite discoveries would be tied back to the Dhirubhai-1 and 3 facilities. Numerous other prospects have been identified in deeper wa ter areas of the block where further upside potential would be evaluated, Niko said.

Reliance is investing $5.2 billion in bringing to production Dhirubhai 1 and 3 fields, with initial output pegged at 40 million standard cubic metres per day that would double in a year’s time. Of this, $3.28 billion has already been invested by June 30 , it said.

“Fourteen of the planned 18 Phase-I wells will be tied in after start-up,” it added. Reliance would also start pumping out from the MA oil field in the same block within a months time. “The field is estimated to have a peak oil production rate of 40,000 barrels per day.”

The company is investing $2.234 billion in developing the MA oil fields in the predominantly gas-rich block. Niko has 10 per cent stake in the 7,645 sq kms KG-D6 block. Reliance is the operator with 90 per cent interest.

The block was awarded to Reliance-Niko in India's first international bid round in 1999. “Development of the Dhirubhai 1 and 3 natural gas fields and the MA oil field is substantially complete and exploration is ongoing on this block,” Niko said. - PTI

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