New Delhi, Jun 12 (PTI) In a disquieting development for Reliance Industries, oil regulator DGH has refused to accredit three natural gas discoveries made by the company at its KG-D6 block, where revival of the sagging output depends on production from new finds.
The Directorate General of Hydrocarbons (DGH) rejected D-30, D-31 and D-34 finds in the KG-DWN-98/3 or KG-D6 block as commercially exploitable discoveries on account of low reserves they may hold, sources privy to the development said.
Reliance, which has seen output from its main fields in the eastern offshore block fall by over 20 per cent since March last year, wanted to tie-up the smaller discoveries together to a common facility to produce 5.7 million cubic meters of gas per day -- double of what state-owned ONGC's newest gas field, C-Series, produces.