RIL’s block holds 3.7 times established gas reserves: Niko
Reliance Industries flagging eastern offshore KG-D6 block holds 3.7 times more established gas reserves at 2.6 trillion cubic feet, the company’s minority partner Niko Resources said. Niko, which holds 10 per cent interest in the KG Basin block, in its earnings statement for 2015-16 fiscal said its share of proved reserves in KG-D6 block stands at 265 billion cubic feet of gas equivalent (2.65 Tcf for 100 per cent interest). After adding probable reserves, this jumps to 406 billion cubic feet of gas equivalent (Bcfe) or 4.06 Tcf. This compares 70 Bcfe of proved reserves for Niko’s 10 per cent share stated in the financial statement for the previous fiscal ended March 31, 2015. “Proved reserves and proved plus probable reserves of 265 Bcfe and 406 Bcfe, respectively, for the D6 Block in India as at March 31, 2016 reflect the reclassification of reserves for the R-Cluster and Satellites undeveloped discoveries due to the economic viability of the development of these discoveries at the prices assumed in the reserve evaluations of these fields,” Niko said. RIL, which is the operator of the block with 60 per cent interest, has so far brought to production only two gas and one oil discoveries out of the 19 find it had made so far. Hydrocarbon reserves are classified as proved (P1), probable (P2), or possible (P3) depending on their potential for being converted into actual production. P1 reserves are one which have 90 per cent certainty to be produced while probable reserves are one with 50 per cent certainty. P3 reserves are one with just 10 per cent chance of being produced. BP plc of UK holds the remaining 30 per cent stake in KG-D6 block. Niko Chairman and interim CEO Kevin J Clarke said with the government approving pricing freedom, subject to a cap, for discoveries in high pressure-high temperature, deepwater and ultra-deepwater areas, the KG-D6 consortium is moving ahead with developing the undeveloped discoveries. Kansas City Chiefs Womens Jersey
Petronet LNG plans $3 billion investment in overseas push
Petronet LNG aims to spend up to $3 billion in the next five years to expand overseas, setting up terminals in Bangladesh and Sri Lanka among other countries, its managing director said. Falling spot LNG prices have boosted consumption of the fuel in India and triggered demand for LNG infrastructure in countries long shut out of the gas trade. “We are thinking global and we are not looking inwardly only at India … we have potential and we should aim for 30 billion-40 billion rupees’ ($445 million-$596 million) worth of projects every year for five years,” Prabhat Singh told Reuters in an interview. Petronet has previously just focused on importing liquefied natural gas (LNG) for regasification at its plants at Dahej in Western Gujarat state and at Kochi in the southern state of Kerala. Singh said the company plans to invest Rs 50 billion to build a 5 million ton a year (mtpa) terminal at Kutbdia in Bangladesh and company officials would visit Bangladesh on July 23 to take the proposal forward. “We are hopeful of a favourable response from them,” he said. Last month Petronet also submitted a proposal for a 1-mtpa floating LNG terminal in Sri Lanka, which wants a gas link for its 600-megawatt power plant, Singh said. That would require 13 billion rupees in investment. Rising Indian demand for LNG has prompted Petronet to operate its 10 mtpa Dahej plant at 120 per cent capacity, meaning it is regassifying and selling an additional 20 per cent gas. However, its Kochi plant is operating at a fraction of its 5-mtpa capacity as pipelines linking the terminal to industrial clients are not ready yet. The country’s current LNG consumption is about 58 million cubic metres a day (mcmd), up from about 45 mcmd last year, Singh said, and Petronet is on the lookout for overseas gas deals to meet rising Indian demand. Russia last month offered Petronet and other Indian companies a stake in the second phase of its Yamal LNG project. Torry Holt Womens Jersey