REL secures 4 blocks under CBM III

New Delhi, Nov 7 (UNI) Anil Ambani-owned Reliance Energy along with its consortium partners, today bagged four of the 10 contracts for exploration and production of coal bed methane (CBM), estimated to cost Rs 25-27 crore each, from the Ministry of Petroleum and Natural Gas (MoPNG).

Under the third round of CBM, the consortium led by Reliance Natural Resources Ltd (RNRL) was awarded two blocks in Rajasthan and one each in Andhra Pradesh and Madhya Pradesh, covering an acreage of 3266 sq km.

The programme consists drilling of coreholes (depth of each well in meters), number of wells to be drilled and sampling and analysis of coal coreholes.

Over 16 contracts have been signed under the earlier three rounds of CMB resulting into establishment of over six trillion cubic feet.

The first commercial production of the gas is expected to commence next year.

The government formulated the CBM policy in 1997 to harness the new energy spurce of hydropcarbon from coal fields of the country.

It has already allowed 100 per cent Foreign Direct Investment (FDI) in the hydrocarbon value chain and is mulling reducing of the number of approvals and streamline procedures and processes.

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