News Detail

• NDTV has learnt that RIL has written to oil ministry asking for approval for carrying out technical and mechanical work in the four satellite discovery in the KGD-6 gas block.After firing salvos at each other, both Petroleum Ministry and RIL wants cease fire – at least for the time being. That should help set the stage to work together and work out a strategy to enhance gas production from the KG D6 basin.NDTV has learnt that RIL has written to oil ministry asking for approval for carrying out technical and mechanical work in the four satellite discovery in the KGD-6 gas block. At the management committee meeting on December 2, questions were raised on the validity of RIL's capex of about $1.5 billion for the four satellite fields, submitted in 2009.
• Sources also told NDVT that RIL has agreed to rework the capex for the four satellite fields, but even for doing that, they need government’s approval, even if it is conditional. RIL has cited favourable weather condition in KG basin to doing technical studies.RIL's letter indicates that if they miss this favorable weather window, the production from the satellite could be further delayed.Clearly, the two sides are preparing for truce. After the ministry said it will penalise RIL by changing the contract, it pulled back. And after the arbitration notice by RIL, it is willing to agree to even a conditional nod, shows that both RIL and the government want to rework their strategy and ramp up gas production.

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