The gas production from D6 in the Krishna-Godavari basin, allotted to Reliance, is not satisfactory and the Government has referred the matter to the Law Ministry for taking action against the company.
This was stated by Mr S. Jaipal Reddy, the Union Minister for Petroleum and Natural Gas, at a press meet here on Sunday.
He said at present only 37 mmscmd of natural gas per day was being produced from the field against the projected 70 mmscmd.
It may further go down next year to 27 mmscmd.
The company was attributing it to certain technical and geological factors.
The matter had been referred to the Law Ministry in view of the complex issues involved.
He said in all production-sharing agreements the owner would have the final say but the rights of the contractor should also be respected.
He said the Government was aiming at self-sufficiency in the oil and gas sector.
Referring to gas pricing, he said the Empowered Group of Ministers would meet on February 24 to take a decision on the issue. A new system may be introduced. He said due to international factors there may be volatility in the market.
Referring to the ONGC, Mr Reddy said the public sector undertaking should display more dynamism and play a proactive role in future.
Later, he visited D6 gas field near Gadimoga in East Godavari district.
The Empowered Group of Ministers would meet on February 24 to take a decision on gas pricing. – Mr Jaipal Reddy