GAS PRODUCTION … RIL, BP announce start of gas production from new facility off Kakinada


MUMBAI: Joint stake-holders Reliance Industries (RIL) and Bharat Petroleum (BP) on Friday announced start of gas production from one of the first three deep-water gas projects off the east coast near Kakinada, Andhra Pradesh. The three clusters – the R Cluster, Satellites Cluster and MJ – are together aimed to meet 15 per cent of India’s gas requirements by Year 2023.

RIL operates the KG D6 Block with 66.67 shares and BP 33.33 per cent. Stated RIL in a statement: The R Cluster is the first of the three projects to come onstream. The field is located about 60 km from the existing KG D6 Control & Riser Platform (CRP) off the Kakinada coast and comprises a subsea production system tied back to CRP via a subsea pipeline. Located at a water depth of greater than 2000 meters, this is the deepest offshore gas field in Asia. The field is expected to reach plateau gas production of about 12.9 million standard cubic meters per day (mmscmd) in 2021.”

Of the two other projects, the satellites cluster would come onstream next year and the MJ project by year 2020. Peak gas production from the three fields is expected to be around 30 mmscmd (1 bcf/d) by 2023. This, the RIL said, is expected to be a quarter of India’s domestic gas production.

Notably, RIL’s D1/D3 gasfield in the KG-D6 block stopped gas production in February this year after a run for 11 years from 2009. It had good production for a  year or so and then output started declining.

“Growing India’s own production of cleaner-burning gas to meet a significant portion of its energy demand, these three new KG D6 projects will support the country’s drive to shape and improve its future energy mix,” said BP chief executive Bernard Looney.

Stated Mukesh Ambani of the RIL: “We are proud of our partnership with BP that combines our expertise in commissioning gas projects expeditiously, under some of the most challenging geographical and weather conditions. This is a significant milestone in India’s energy landscape, for a cleaner and greener gas-based economy. Through our deep-water infrastructure in the Krishna Godavari basin we expect to produce gas and meet the growing clean energy requirements of the nation.” –IHN-NN


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