Reliance confirms Indian gas find

Reliance Industries Ltd. (RIL) and partner BP, have discovered gas and condensate in the KG D6 block in the Krishna-Godavari field off the eastern coast of India.

The KGD6-MJ1 well was drilled in a water depth of 1024 m, and a total depth of 4509 m, in order to explore the prospectivity of a Mesozoic Synrift Clastic reservoir lying over 2000 m below the reservoirs in the D1-D3 gas fields.

The discovery, named 'D-55', is expected to add to the hydrocarbon resources within the KG D6 block.

“This is a successful outcome of the combined exploration efforts of the joint venture partners with the active support of the Gulf of India,” said Executive Director of Reliance Industries Limited, P.M.S. Prasad. “We shall embark on the appraisal program in the next few months in order to evaluate the options for developing this discovery.”

Formation evaluation indicated a gross gas and condensate column in the well of about 155 m in the Mesozoic reservoirs. In the drill stem test, the well flowed 30.6 mmscf/d, a liquid rate of 2121 bo/d, and a flowing BHPof 8461 psi.

In February, BP and RIL said they planned to jointly invest more than $5 billion over the next three to five years to boost declining gas output in the KG D6 block in the Krishna-Godavari field. In 2011, BP agreed to take a 30% stake in 21 of RIL’s oil and gas blocks in India, including KG D6.

RLI is the operator of KG D6 with 60% interest. BP has a 30% share and Canada's Niko Resources Ltd. holds 10% interest.

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