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

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.

Tags: Mukesh Ambani, Reliance, Reliance Industries, RIL