New Delhi, Apr 2: Reliance India Ltd (RIL) achieved a landmark in the history of oil and gas production when its deep-sea Krishna Godavari basin fields flowed to the surface on Thursday, Apr 2.
Unlike the practice around the world of a minimum nine years, the RIL just took seven years from the date of discovery to begin gas production from the deep-sea KG-D6 block.
According to Petroleum Secretary R S Pandey, India will save USD nine billion in oil import bill annually with the beginning of production from Reliance Industries' eastern offshore KG D-6 fields.
He informed that Reliance Industries began gas production on Wednesday, Apr 1 and the output is at 2.5 million cubic metres per day.
"Revenues from KG-D6 gas sales are expected to be USD 42 billion over the life of the field, and the Government's profit share at a minimum USD 14 billion," added Pandey.
According to sources, Natural gas production from wells started at 5 p.m. on Wednesday and it reached the onland receiving facility at Gadimoga in Kakinada district of Andhra Pradesh this morning.
The first fifteen fertilizer plants, that will get all of the initial output, is likely to get the gas within the next 3-4 days.
The most distant plant is expected to get the gas in about 15 days.