RIL gets approval from the DGH for their gas project

Mumbai, Dec 13 (UNI) Reliance Industries Ltd (RIL) today informed the Bombay Stock Exchange (BSE) that the Directorate General of Hydrocarbons (DGH) have granted approval for their initial development plan for the Deepwater Block Gas Project.

RIL made the world's largest gas discovery in 2002 in this Block.

Pursuant to this approval the capital expenditure for initial phase of development to produce 80 mmscmd of gas is USD 5.2 billion.

The development plan envisages commencement of the first phase of gas delivery by the second half of 2008-09, RIL said.

The Deepwater Block Project in the Krishna Godavari Basin off the east coast of India in Bay of Bengal was awarded to RIL and NIKO Resources, Calgary, Canada (NIKO).

RIL as operator of the Block holds 90 per cent of the participating interest and NIKO the remaining 10 per cent.

The Block covers an area of 7645 sq kms and its north-western boundary is about 40-60 kms, south of Kakinada in Andhra Pradesh.

The water-depth in the block ranges upto 2700 mm.

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