Reliance and BP sanction second phase of KG D6
Reliance Industries (60%, operator) and BP (30%) have sanctioned the ‘Satellite cluster’ gas project in block KG D6 offshore the east coast of India. The remaining partner is NIKO, holding a 10% stake.
The ‘Satellite cluster’ is the second of three projects in the block KG D6 integrated development. The first of the projects, development of the ‘R-Series’ deepwater gas fields, was sanctioned in June 2017. Together, the three projects will develop a total of about 3tn cf of discovered gas resources with a total investment of $6bn. They are expected to bring a total of 30-35mn cm/d (1bn cf/d) of gas onstream, phased over 2020-2022.
India currently consumes over 5bn cf/d of natural gas and aspires to double gas consumption by 2022. Gas production from the integrated development is expected to help reduce India’s import dependence and amount to over 10% of the country’s projected gas demand in 2022; benefiting India and domestic consumers at large.