Oil Ministry to move Cabinet to allow RIL to retain gas finds

New Delhi: The Oil Ministry is in search of Cabinet nod to allow Reliance Industries (RIL) to keep hold of three gas discoveries value USD 1.45 billion in the eastern offshore KG-D6 block still after finish of timelines.

RIL has not been able to present a expansion plan for D-29, 30 and 31 gas discoveries, which hold an predictable 345 billion cubic feet of treasury, with the prescribed timelines due to argument with the upstream watchdog DGH over tests required to confirm them.

The Oil Ministry feels that taking away the discoveries and rebidding the finds may direct to holdup in expansion, sources privy to the case said.

Also, it feels RIL may go to adjudication which may guide to additional delay in manufacture and extra cost connected with the negotiation.

The three finds, which can be rapidly put on construction by RIL using obtainable communications of at present producing gas fields as well as those being urbanized, are merit USD 1.45 billion at existing gas cost of USD 4.2 per million British thermal unit.

BHP Billiton gives up 9 oil & gas exploration blocks in India

Global miner BHP Billiton on Monday said it has given up nine oil and gas exploration blocks in India due to its inability to carry out exploration operations there.

The company is withdrawing from those blocks because of delays in clearances, according to local media, but BHP would not confirm the reason for its decision to relinquish its interest.

"The decision to relinquish these blocks is the result of an exploration portfolio review ... there have been regular discussions and communications over the last 12 months with the Ministry of Petroleum and Natural Gas," BHP said in a statement.

The company gave up its interest in six blocks awarded in India's NELP VII bid round, in which it held 26 per cent interest and GVK held 74 per cent interest as well as three blocks awarded in the NELP VIII bid round in which it held 100 per cent interest.

BHP Billiton will keep its 50 per cent interest in its NELP IX block, operated by BG Group.