SENSEX NIFTY
Apr 10, 2012, 08.32 AM IST | Source: CNBC-TV18

BP makes $1bn pitch to OilMin, seeks urgent nod for surveys

With KG-D6 output hitting an all- time low, Reliance Industries and its British partner BP have made a billion dollar pitch to petroleum minister Jaipal Reddy.

With KG-D6 output hitting an all- time low, Reliance Industries and its British partner BP have made a billion dollar pitch to petroleum minister Jaipal Reddy.

Sources say BP has written to the oil ministry stating that the integrated development plan for the KG-D6 fields will help BP and Reliance save USD 1 billion—a plan the two JV partners want to submit later this year in October.

However, for this to take place, RIL and BP want an “urgent nod” from the government.

RIL-BP propose to drill one gas production well on the MA oilfield in the eastern offshore or KG-D6 block besides intervention of jobs in at least two of the existing six wells on the fields.

MA is the only oil field made by RIL in the 7,645 square kilometre KG-D6 block. The field produces about 11,200 barrels a day. MA field makes up for about one-fifth of the 34.09 mmcmd of current gas output from KG-D6 block.

Sources said six wells had been drilled on MA field, of which one had to be closed because of water loading and sand ingress. RIL-BP plan to do work over (intervention activity involving invasive techniques to raise output) on the closed well and at least one more well facing similar problems.

Moreover, BP has urged the ministry not to restrict surveys to D2, D6, D19, D22 fields only. It says discovery is near impossible without broad survey.

In its letter dated March 28, BP has also sought support from home and defence ministry nod.

(With inputs from PTI)

Reliance stock price

On August 01, 2014, at 09:15 hrs Reliance Industries was quoting at Rs 997.00, down Rs 9, or 0.89 percent. The 52-week high of the share was Rs 1142.50 and the 52-week low was Rs 765.00.


The company's trailing 12-month (TTM) EPS was at Rs 68.90 per share as per the quarter ended June 2014. The stock's price-to-earnings (P/E) ratio was 14.47. The latest book value of the company is Rs 609.40 per share. At current value, the price-to-book value of the company is 1.64.

Set email alert for

ADS BY GOOGLE

video of the day

Auto, bank to do well; L&T good 2-3 yr story: Alchemy's Ved

Explore Moneycontrol

Copyright © e-Eighteen.com Ltd. All rights reserved. Reproduction of news articles, photos, videos or any other content in whole or in part in any form or medium without express written permission of moneycontrol.com is prohibited.