Archive for September, 2011

Reliance Digital Store Launch In Pune on 1st Oct, 2011

September 30, 2011

For a retail chain, Reliance Digital is certainly coursing on the fast lane. From its humble beginning in 2006, Reliance Digital has come a long way from begin just an electronics retail chain to, today, being India’s most popular electronics retail chain. And in an effort to fuel this distinction further, Reliance Digital gearing up to spread it wings well into the country to impress a ubiquitous presence and extend its value-proposition to a multitude more of people.Reliance Digital, is set to launch new Reliance Digital stores on 1st of Oct, 2011. The stores will be launched in Pune (Solitaire, Aundh).This store will mark the sixth Reliance Digital store in the city.

Staying true to Reliance Digital’s long standing tradition, the new stores will boast matching features as that of other Reliance Digital stores across the country. Spacious in design with the spread of over 10,000 Sq.ft of flagship Store and comprehensive in product collection, the latest Reliance Digital stores will be an extension of Reliance Digital’s quest for providing value-based electronic products at best prices throughout the country

About Reliance Digital: Reliance Digital is value-based consumer electronics and durables retail chain from the house of Reliance. Spread over 10,000 sq.mt of space, Reliance Digital stores carry over 4000 products of 150 brands from world over. Carrying a wide assortment of products from high-end LED and LCD TVs, microwave ovens, refrigerators, washing machines, mobile phones, laptops, gaming consoles and software, home appliances, mp3 players to even the smallest of IT based devices, Reliance Digital is a one-stop shop for all things electronic. Reliance Digital stores offer its customers the value proposition of having the lowest prices and best quality products. Offering great value for money on every purchase, Reliance Digital stands as an ideal store for every customer looking for a great deal on electronics

BP cites ‘bright future’ with Reliance Industries; looks to develop gas markets in India

September 29, 2011

CEO of London based energy major British Petroleum (BP Plc), Bob Dudley has expressed optimistic views on the much acclaimed alliance between BP and Mukesh Ambani-led Reliance Industries Limited (RIL). The CEO of world’s leading ‘petro-technical’ company noted that the alliance with Reliance is likely to render fruitful results and there is a great future working in close association with the Indian energy giant.

Bob Dudley, on his two day visit to India, noted that being able to combine the strengths of RIL in project development and management with BP’s petro-technical skills, the reservoir skills and the exploration skills, will ascertain beneficiary results for both partners and leverage the alliance’s plans to develop gas markets in India.

The partnership between RIL and BP will see BP taking a 30 per cent stake in 23 oil and gas production sharing contracts (PSC) that RIL operates in India, including the much acclaimed KG – D6 block off the east coast of Andhra Pradesh, and the formation of a 50:50 joint venture between the two companies for the sourcing and marketing of gas in India. The JV will also look to amp up the process of formation of infrastructure for receiving, transporting and marketing of natural gas in India. Lately, KG-D6 has seen its output decline gradually to less than 45 mmscmd instead of rising to 80 mmscmd as anticipated in the field’s assessment. There are a few technical issues, which RIL is currently sorting with the assistance of its partner BP Plc. Dudley assured that BP and RIL are working with the government to get additional satellites and the R series reservoirs approved. He is hopeful that the JV will get these approvals within the year so as to begin the process of engineering and, by 2014, get the production of gas rising from KG-D6.

Stating that “free market system is what any economy needs to be able to ensure efficient development of its resources”, Dudley noted that deep sea exploration is a capital intensive, high risk process that needs to be developed in order to reap maximum rewards from the risks.

Oil Ministry yet to sanction development plans for RIL’s 9 satellite discoveries

September 28, 2011

At a time when energy security and prolific resource development is of top priority to the government, Oil ministry has deferred sanctioning Reliance Industries Limited ‘s (RIL’s) nine satellite gas fields which the operator discovered in 2007. Directorate General of Hydrocarbons (DGH), the technical arm of oil ministry, noted that oil ministry officials on the panel that oversees operations in KG-D6 field have not yet approved the gas finds made by RIL, even though it has been years since they were discovered.

As per industry norms, after a gas discovery is made, its potential is assessed to ascertain if the field can be developed commercially. A Declaration of Commerciality (DoC) is sought and once the DoC is approved by the Management Committee (MC) – a body which oversees operations in the block – an investment plan is drafted to state the development plans for producing gas from the noted field. In RIL’s case, the oil Ministry is yet to grant a DoC, without which the energy operator cannot begin work on the field development plans.

Reliance Industries has, so far, made 18 gas finds in KG-DWN-98/3 block, more commonly referred to as KG-D6 block, which lies off the east coast of Andhra Pradesh. Of these, two fields – Dhirubhai-1 and Dhirubhai-3 (D1 and D3) have been put under production while nine others (D-2, D-4, D-6, D-7, D-8, D-16, D-19, D-22 and D-23) have been declared as commercially viable by DGH. However, the Oil Ministry sanctioned the DoC of only D-2 field from among the nine fields, which was discovered in April 2002.

DoC for the remaining eight fields has been awaited since November 2007. DGH, in support of RIL stated that the Declaration of Commerciality (DoC) of eight satellite gas discoveries (D-4, D-6, D-7, D-8, D-16, D-19, D-22 and D-23) was reviewed in the MC meeting on November 22, 2007. An MC resolution, which declares the eight finds as viable for commercial production of gas, has been signed by MC nominees of the joint venture (RIL) and its minority partner (Niko Resources of Canada) and the first government nominee (DGH). Only Ministry of Petroleum and Natural Gas’ consent is still awaited on MC resolution. Presently, DGH has forwarded a letter to the ministry for approval of RIL’s fields and sanctioning their development plans at the earliest.

Reliance Industries Looking to Acquire Canadian Shale Gas Assets

September 26, 2011

Mukesh Ambani led Reliance Industries Limited (RIL) is eyeing shale gas assets in the resource-rich regions of Canada, after having successfully acquired and developed similar shale gas assets in Pennsylvania and Texas in the U.S. last year. Encana Corp. (Canada’s biggest natural-gas producer) and Cenovus Energy Inc (Canada’s fifth-largest energy company) are two Canadian companies looking for partners to successfully develop their oil and gas resources. Both these companies, at present, are in talks with leading Asian and European energy companies to put together a mutually beneficial partnership for developing Canada’s rich shale gas reserves. RIL, one of the top prospects, is presently studying Canadian shale gas assets and evaluating the possibility of likely partnership with its energy firms.

Reliance Industries has inked joint ventures with US based Chevron (RIL- Chevron), Carrizo (RIL- Carrizo) and Pioneer (RIL-Pioneer). Acquisition of shale gas assets has been a significant venture for RIL this fiscal year, and in hopes of transforming itself into a global oil and gas developing enterprise in the coming years, Reliance is on the lookout for additional global opportunities and for extending a hand of partnership to leading oil and gas developing firms of the world. By adding reserves of natural gas trapped in overseas shale gas assets, Reliance will be able to add to its domestic fuel output substantially.

After having encountered the highest ever financial performance results for the quarter ending June 30th, earnings from RIL’s refining business helped the conglomerate assume a 16.7% rise in net profits and $16 billion in cash reserves. RIL is expected to invest a part of this cash reserves into developing additional clean energy ventures. Also, Reliance has been India’s most acquisitive company in terms of number of deals last year, and the company is expected to expand further by engaging in additional M&A opportunities. RIL has roped in NavinWadhwani from Rothschild to head the M&A division of the group and the company also plans to bring in Tony Fountain, ex-CEO of the U.K. Nuclear Decommissioning Authority to head its refining and marketing division.

Reliance Retail eyes 20 per cent growth in sales volume in FY 2011

September 22, 2011

Reliance Retail, a subsidiary of Mukesh Ambani led Reliance Industries Limited (RIL) is expecting to see its same-store sales increase by a whopping 20 per cent in the FY 2011. This anticipation is riding on the back of steady consumer spending over the last year; negating any adverse affects that can be rendered as result of present economic conditions. Bijou Kurien, President and Chief Executive Officer (CEO) of Reliance Retails’ lifestyle segment noted at an industry conference that the company is eyeing tremendous growth based on the steady graph its value retail format and electronic format are charting.

While soaring interest rates and inflation markup have added to the concerns of organized retail players, the sector is optimistic that the industry will sail through buoyantly, given it continues to grow in double digit counts. Also, as government has allowed for foreign direct investment (FDI) in multi-brand retail, domestic players are looking to partner up with top global retailers to diversify and expand their market.

Reliance Retail, too, has chalked out plans to improve its retail arm through global partnerships and by overhauling the process altogether. As RIL looks to diversify beyond its core energy business, it has sought to bank upon its retail arm to push the next stage of the company’s growth. For this, Reliance Retail has roped in top executives from Wal-Mart China, Rob Cissel and Shawn Gray. While Rob Cissel will serve as the new CEO of Reliance Retail, Shaw Gray will take the role of a COO for the business format. The new management team will function with a primary target of making the business more profitable within the next two years. The newly instated management is expected to gradually improve upon and make lucrative the big format of Reliance Retail.

Reliance Retail currently operates around 1,000 stores under 46 subsidiaries across 86 cities in the country. Around 650 such stores are run under the value format of Reliance Fresh, while others are categorized under specialty formats, including apparel, footwear, gems, electronics, and jewellery.

RIL Partners With Siemens to develop Homeland Security Solutions

September 20, 2011

Reliance Security Solutions Limited, a subsidiary of Reliance Industries Ltd., (RIL) has signed a Memorandum of Understanding with Siemens Ltd., to jointly develop Homeland Security Solutions, for safe, secure and smart cities and highways in India. This initiative will get India at par with developed nations, which use 4G wireless technology for security installations in their territories.

With the advent of technology and rise in level of terrorist attacks, the traditional methods of surveillance and security are inadequate, and hence the rising need to adapt advanced technology. RIL plans to offer 4G technologies for safety and security, which will help in increasing the amount of data and information that can be sent at a time. Siemens offers the world’s most advanced security solutions, Siveillance, which caters to the needs of all the security demands. This combined venture of RIL and Siemens will use 4G network, which assures low latency and quality of service for video and security applications.

Reliance operates the world’s largest integrated security automation system, consisting of over 12,000 cameras, advanced security sensors, radars, etc, and has been using advanced command and control centres for security of its own infrastructure. Siemens Siveillance provides reliable security solutions, with features like automated threat detection, which helps protect cities, highways, iconic buildings and public areas.

Siemens is an icon of expertise in the field of Intelligent Security Solutions. With this tie up with Reliance Industries for Homeland Security in India, one can expect India’s security market to be one of the largest growing, in the world.

Reliance Digital Presents ‘Maha Mismatch Exchange Festival’

September 16, 2011

Reliance Digital, India’s largest electronics retail chain has rolled out a special seasonal offer – the ‘Maha Mismatch Exchange Festival’ – where customers can exchange just about any old electronic item for any new electronic item at a discounted rate.

As a part of Reliance Digital’s long standing tradition of bringing forth exclusive and special offers all year round, this one, too, comes on an exciting note. What makes ‘Maha Mismatch Exchange Festival’ an exclusive opportunity for customers is the special scheme where customers can bring in any old appliance; from refrigerator, washing machine to TV, mobile phone and AC, and exchange it for any new product from the store at the best exchange discount starting from Rs. 2000 to Rs. 5000. Also, Reliance Digital has set in place a special EMI scheme under which customers can take home any new electronic product at 0% interest. Every purchase made at the Reliance Digital store will be backed by Reliance ResQ customer support plan.

About Reliance Digital: Reliance Digital is a multi-brand electronics retail chain offering a multitude of electronic products and brands to choose from. Carrying a wide assortment of products from high-end LED and LCD TVs, refrigerators, microwave ovens, laptops, mobile phones, gaming consoles and software, home appliances, mp3 players to even the smallest of IT based devices, Reliance Digital is a one-stop shop for all things electronic. Spread over 10,000 sq.mt of space, Reliance Digital stores are spacious, well furnished and carry over 4000 products of 150 brands from world over. Reliance Digital stores guarantee their customers the lowest prices and best quality products – a value proposition that is hard to decline. Offering great value for money on every purchase, Reliance Digital stands as an ideal store for any customer looking for a great deal on electronics.

Mukesh Ambani’s RIL receives five star rating from British Safety Council

September 13, 2011

Mukesh Ambani led Reliance Industries Limited (RIL) has been awarded a five star rating in the occupational health and safety audit conducted by British Safety Council – an internationally recognized system that is used by leading organizations of the world to benchmark their health, safety and environment (HSE) management systems against the best practices. British Safety Council is a registered charity with a mission to support a safer, healthier and more sustainable society. It is one of the world’s leading Health and Safety Organizations.

The merit rating has been bestowed upon RIL’s KG-D6 gas processing unit located in Gadimoga in East Godavari district of Andhra Pradesh. In statement released by Reliance Industries, the company noted that the award ‘recognizes RIL’s adherence to the best industry safety practices at its Gadimoga plant and compliance with the best industry practices worldwide.’

Apart from the recognition by BSC, RIL’s KG –D6 facility has been granted many significant awards and recognitions, including ISO-9001, ISO-14001 and OHSAS-18001, with respect to safety and quality certifications.

The Krishna – Godavari basin block KG-DWN-98/3 (D6) has 19 oil and gas finds. Of these, Dhirubhai -1 (D1), Dhirubhai- 3 (D3) fields and an oil field MA are currently the largest. While KG-D6 is producing about 45.4 mmscmd of gas per day, MA oilfield produces a little less than 15,000 barrels per day of oil and about 7.6 million standard cubic meters per day of natural gas from its five wells. The present output from RIL oil and gas fields is sufficient to meet the contracted demand of core sectors, i.e., 15.35 mmscmd for fertilizer units, 29 mmscmd for power plants, 0.65 mmscmd for city gas distribution firms and 2.59 mmscmd to LPG plants. Following the establishment of Gadimoga processing facility, RIL has been able to substantially increase its output volume and also helped reduce the fertilizer subsidy – a sector which jointly consumes 70% of India’s natural gas along with the power sector.

RIL’s efficient energy production projects to shore up India’s GDP and energy security

September 8, 2011

Mukesh Ambani led Reliance Industries Limited’s (RIL’s) flagship process of oil and gas production has proven to be a significant contributor to the growth in India’s energy sector and, to a large extent, it’s GDP. RIL’s latest reported output of 50.15 mmscmd from its widely acclaimed field in KG basin (KG-D6) has already put Reliance ahead of other operators in the sector, effectively making it the largest player in the natural gas upstream segment.

The development of 8,100km² KG-DWN-98 / l (KG-D6) block by RIL is distinguished as being a prolific oil and gas exploration and development project that hailed in a new era in India’s energy sector that looked at securing clean energy deposits for the country, especially in light of the heightened concern for energy security across the world. Having developed the Dhirubhai-1 (D1) and Dhirubhai-3 (D3) fields in KG basin, Reliance Industries is presently charting an integrated development plan for its R-series of natural gas finds and nine other satellite discoveries in the D6 block. The combined potential of all these blocks is estimated to be around 2-3 trillion cubic feet; a volume of a substantially large nature and estimated to shore up India’s GDP by approximately 0.3% annually.

Already, natural gas from Reliance Industries’ KG D6 field is estimated to have rendered Rs. 6,000 crore in savings for the government over the last year and an additional savings of Rs. 3,100 crore in its fertilizer subsidy bill. KG D6 output has saved 32 per cent in fertilizer subsidy after urea making plants shifted from costlier liquid fuels to lighter and more cost effective gas inputs from RIL’s gas fields.

More recently, after signing a JV with London based energy major BP Plc, Reliance Industries hopes to usher in the age of age of cleaner and cheaper fuels such as LNG, which would serve the dual purpose of reducing unhealthy dependence on imported oil and also cater to the cause of energy security.

Reliance Retail to roll out the next stage of its retail expansion plans

September 6, 2011

Reliance Retail, a retail subsidiary of Mukesh Ambani run Reliance Industries Limited (RIL), is all set to roll out its second phase of expansion, by introducing a comprehensive value retail format that accommodates a mix of both retail and wholesale cash-and-carry format.

In the initial stage, Reliance plans to set up fourteen such stores in selected cities across the country, including Ahmedabad, Amritsar, Bhatinda, Ludhiana, Jallandhar, Patiala, Rai, Hissar and Panipat. These stores will be established under the name ‘Reliance Market’ and in some cases the existing hypermarkets will be expanded to merge with the new business model.

Reliance Ambit Trade, a RIL subsidiary set up to carry out development of commercial properties, will assign land and commercial space for this project. Funds to support this major expansion spree will be garnered from RIL’s capital reserves and from what is generated as a result of RIL-BP deal.

Reliance Retail incurred heavy looses over the last few years, following which a decision was taken to overhaul the entire business model, from top to bottom. First off, Reliance Retail brought in executives from Wal-Mart China, Rob Cissel and Shawn Gray. While Rob Cissel will chair as the new CEO of Reliance Retail, Shaw Gray will take the role of a COO for the business format. The new management team will function with a primary target of making the business more profitable within the next two years. Reliance Retail had been in the process of restructuring the entire value chain under the previous management but the newly instated management is expected to gradually improve upon and make lucrative the big format of Reliance Retail.

Reliance Retail currently operates 1,000 stores under 46 subsidiaries across 86 cities in the country. Around 650 such stores are run under the value format of Reliance Fresh, while others are categorized under specialty formats, including apparel, footwear, gems, electronics, and jewellery.