Mukesh Ambani owned Reliance Industries Limited (RIL) and British Petroleum (BP) are looking forward to investing in anywhere from $5 - $10 billion to increase gas production by four times in the coming months.
Mukesh Ambani owned Reliance Industries Limited (RIL) and British Petroleum (BP) are looking forward to investing in anywhere from $5 - $10 billion to increase gas production by four times in the coming months. BPs India MD SashiMukundan on 11th December was quoted as saying, We have been talking about an investment of $5-10 billion. Also, he said that the gas production could rise to 40 or 50 or 60 million metric standard cubic metres a day (mmscmd) by 2020.
One of the worlds biggest oil companies, BP, which has invested $7.2 billion in 2011 in oil fields in India feels new produce from the 11 satellite discoveries in the KG-D6 block, five finds in NEC-25 and two discoveries in the Cauvery block will great enhance revenues. What is important is that we need to have clear pricing policy for raising the gas output from these fields, Mr. Mukundan said.
BPs MD also said that the opportunity would allow the two giants to quadruple production in the next seven years as they re-worked the fields and got into the next phase of development of already discovered resources. BP-RIL combine is now producing about 11.8 mmscmd of gas from the flagging eastern offshore KG-D6 block. They are targeting newer fields in the KG-D6 block, and gas discoveries in neighbouring northeast coast and Cauvery basin to raise output.
Mr. Mukundan said BP was committed to find more oil and gas globally, including India, where it was focused, along with RIL, on exploration, development and production Indias East Coast. He was also quoted as saying, I do believe there is a huge potential to find more hydrocarbons in the Indian basin, and our presence, investment and track record to date are a testimony to this. Our joint venture alone could reveal a prize of over $100-150 billion for India by avoiding costly imports.
Looking towards the near future, BP and RIL would concentrate on working on three wells which have been shut. These after being rendered operational would start generating produce in the Jnuary-march Quarter.