New Delhi: Reliance Industries will club eight more gas discoveries to the Dhirubhai-1 and 3 finds that are being developed by July 2008, to raise output from its prolific KG-D6 block off the Andhra Pradesh cost.
Reliance has submitted commerciality report for “an additional eight discoveries in the KG-D6 block. The discoveries are adjacent to the D1/D3 field that is currently under development,” RIL’s junior partner Niko Resources said.
The company, which has so far made 16 oil and gas discoveries in KG-D6, submitted commerciality report of Dhirubhai-6, 16, 19, 22, 4, 7, 8 and 23 discoveries.
“It is intended that these satellite discoveries be tied back to the D1/D3 facilities,” Niko said. Reliance has 90% stake in KG-D6 and Niko the remaining 10%.
Reliance is developing Dhirubhai-1 and 3 fields, also known as D1 and D3, at an investment of $5.2-billion. The two fields are envisaged to start producing natural gas from July 2008 at an initial rate of about 40 million standard cubic meters per day and peaking to 80 mmscmd in a year.
A company official said the eight discoveries cannot be developed on a standalone basis and will share facilities being put up for D1 and D3.
Previously, Dhirubhai-2 discovery too was stated to be commercially only when tied-up with other larger discoveries.
A Reliance official said D1 and D3 development was on schedule. About 80% of drilling for the development had been done and the remaining wells are expected to be completed by November. Well completion equipment and services have been ordered and completion work will begin in November.
Offshore processing facilities are half done while the onshore receipt terminal is 35% complete. A pipeline from Kakinada to Ahmedabad, that will carry gas to consumers, will be completed by March 2008.