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Reliance, BP investing USD five bn in three gas development projects

Thursday, 18 Jul 2019
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BP, a British multinational oil and gas company and Reliance Industries (RIL) are collectively making investments worth USD five billion to execute three gas development projects in the Krishna-Godavari (KG) basin.

The companies are spending the amount to execute three gas development projects in the KG-D6 block. It is expecting to bring about one billion cu ft per day of new domestic gas on stream by 2022.

In June 2019, both the companies announced sanctioning of MJ project deep-water gas field, also known as D55, in Block KG D6, offshore the east coast of India. MJ will be the third of three new projects in the Block KG-D6 Integrated Development Plan.

The approval follows sanctions for development of R-Series deep-water gas field in June 2017 and for the Satellites cluster in April 2018.

The three projects are expected to develop a total of around three trillion cu ft of discovered gas resources.

Both the companies expect to unlock a new offshore base in Odisha. The companies are currently working in the Mahanadi basin to explore ways of both economically developing discoveries and building a pipeline of exploration and development opportunities.

The companies have also won the KG-UDW1 block, which is located adjacent to the existing KG-D6 block. It has won an ultra deep-water offshore block in the KG basin under the latest Open Acreage Licensing Programme.


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