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Reliance Industries, which accounts for 30 per cent of India’s gas production, has proposed to drill four wells in the Satellite and R-Clusters at KG-D6 to enhance the production of natural gas.
The oil-to-chemicals major, who on an average produced around 27 million standard cubic meters per day (MSCMD) gas from its three clusters in KG-D6 during FY24, expects to incrementally recover around 240 billion cubic feet (BCF) of the commodity, touted as the best energy transition fuel.
“Based on the comprehensive assessment undertaken with more than two years of production data, three additional wells in R Cluster and one additional well in Satellite Cluster are being proposed to be drilled. This is expected to provide incremental recovery of around 240 BCF of gas from these fields,” RIL said in its annual report for FY24.
The emphasised that its exploration strategy is focused on finding additional gas accumulations that can be tied back to the existing world-class infrastructure, using an infrastructure-led exploration (ILX) approach.
KG-D6 Deepwater
Since the commencement of production, Block KG-D6 established several global benchmarks in terms of operational performance, including 99.9 per cent uptime and more than 13 years of incident-free operations, RIL noted.
The next wave of projects – R Cluster, Satellite Cluster, and MJ – have been commissioned and are currently under production. These projects have leveraged the hub infrastructure in place, thereby reducing cost.
Average production for FY24 from the three fields together is around 27 million MSCMD gas and around 18,000 barrels per day of oil and condensate. Production is in line with expectations, it added.
In line with the increasing gas production, three rounds of e-auction were successfully completed. Overall, 15 MSCMD gas contracts were signed with buyers across fertilizer, city gas distribution, refineries and aggregators.
Condensate production commenced from the MJ Field in KG-D6 Block in April 2023, after which the first auction process was launched in May 2023. Five rounds of auction were conducted, and 12 cargo offtakes were successfully completed by the end of March 2024.
On the exploration side, RIL said that Block KGUDWHP-2018/1 (KG-UDW1) was awarded to RIL-BP JV under the OALP II licensing round, and the petroleum exploration licence was issued in August 2019.
“Post completion of the 3D Seismic Acquisition and Processing campaign, the first exploration well was drilled in the Block, and the drilled well data are under analysis,” it added.
During the year, RIL acquired Block KG-UDWHP-2022/1 (KG-UDW2) under the OALP VIII licensing round. The contract for the Block was signed in January 2024.
Coal bed methane
RIL is currently producing coal bed methane (CBM) from its block SP (West)–CBM–2001/1. More than 300 wells are in production, with an average output of 0.64 MSCMD gas during the year.
“To augment production, a 40 multi-lateral horizontal well programme is being executed in SP (West). This is the first time in India that such horizontal wells are being drilled for CBM. Reliance has already drilled 13 horizontal wells, out of which 10 wells are put on production. Preliminary results are encouraging,” it added.
Reliance Gas Pipeline, a subsidiary of RIL, operates the 302 km Shahdol-Phulpur Pipeline from Shahdol (MP) to Phulpur (UP) connecting the CBM gas fields with the National Gas Grid. This provides access to consumers across the country.
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