Reliance Industries and BP Plc
will together invest Rs 35,000 crore for bringing to production three sets
of natural gasfields in
the Krishna Godavari basin block in the Bay of Bengal, Chairman and Managing
Director Mukesh Ambani said on Monday.
The three projects will help reverse the falling
gas output from what was once the biggest gas-producing block in the country.
In July, the two partners had announced investment sanction for development of
their deepest natural gas discovery in the KG-D6 block.
JV a major contributor to India’s energy
"With an expected peak production
of one billion cubic feet per day, equivalent to nearly 30 per cent of India's
current indigenous gas production, the joint venture will emerge as a major
contributor to India's energy security," said Ambani while speaking at the
group's 42nd annual general meeting.
Project developing resources in KG D6
block, most complex
With world-class deep-water
infrastructure in the east coast of India, the joint venture is uniquely
positioned to monetise over three trillion cubic feet of discovered resources
in the KG D6 block, he said adding the projects to develop these gas-fields are
among the most complex being executed anywhere in the world.
JV to play
major role as a producer of natural gas
Ambani said the natural gas business
will soon regain its pride of place in Reliance's
value-creation strategy. With Reliance de-emphasising its shale gas business in
the United States, the company is currently focused only on India.
"In our coal bed methane blocks, we are
focusing on augmenting production. The joint venture with BP will play a major
role as a producer of natural gas," he said.