NEW DELHI, India– BP and Reliance Industries Ltd. (RIL) have sanctioned development of the Satellite cluster deepwater gas fields in block KG D6.
The Satellite cluster is a dry gas development in ~1,700 m (5,577 ft) water depth, about 15 km (9.3 mi) east and southeast of the producing D1D3 fields in KG D6.
The three projects will develop a total of about 3 tcf of discovered gas resources with a total investment of c. INR 40,000 crore ($6 billion). They are expected to bring a total c. 30-35 MMcm/d (1 bcf/d) of new domestic gas production onstream, phased over 2020-2022.
Mukesh Ambani, chairman and managing director of RIL, said: “In consonance with our announcements last year to raise domestic gas production, we are delighted to announce the on-schedule progress of the Satellite cluster in the east coast of India. This development supports the country’s imminent need of increasing domestic gas supply and is a firm step towards making India a gas-based economy.”
India consumes more than 5 bcf/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 more than 10% of the country’s projected gas demand in 2022.
RIL is the operator ofblock KG D6 with 60% interest, along with BP (30%) and NIKO (10%).