Reliance Industries (RIL) produces 11 million standard cubic metre per day (mmscmd) of
natural gas from its shale gas operations in the United States.
This is higher than the company’s share of 9.6 mmscmd gas from its Krishna Godavari basin (KG D6) in the Bay of Bengal. While gas output from KG Basin is a little lower than 16 mmsmcd, the company’s share is 9.6 mmscmd as it holds 60 percent share in the block.
Over the medium term, the company’s US shale assets may start to become more meaningful as production rises, analysts opine.
In 2012-13, the company’s shale gas operations fetched revenues and operating profit of $616 million and $483 million, respectively.
The Mukesh Ambani-led firm invested $5.7 billion across its three shale joint ventures so far, including $500 million in the fourth quarter.
The company plans to implement workover wells programme in order to arrest the fall in production from the KG D6 basin by fiscal 2014.
Also, the company will be deploying a booster compressor in fiscal 2015, which will slightly augment production too.
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