Gas output from RIL's KG-D6 fields drops to 30.8 mmcmd

Reliance Industries' KG-D6 field has seen further drop in natural gas output to 30.82 million standard cubic meters per day as high water and sand ingress led to shutting of 8 wells.

Natural gas output from KG-D6 in the week ended June 24 dropped to 30.82 mscmd from 31.57 mmcmd in the beginning of the month, according to a status report filed by the company with the Oil Ministry.

RIL said six out of the 18 wells on the Dhirubhai-1 and 3 (D1&D3) gas fields and two of the six wells on MA oil field in the KG-DWN-98/3 or KG-D6 block in Bay of Bengal were shut due to high water and sand ingress, leading to lower output.

KG-D6 had produced 32.66 mmsmd in May, 33.89 mmcmd in April and 34.62 mmscmd in March.

Production from D1&D3, the largest among 19 oil and gas finds RIL has made in the Krishna Godavari basin KG-D6 block, slipped to 24.79 mmscmd during June 18 to June 24.

Together with 6.03 mmscmd gas output from MA oilfield in the same block, KG-D6 produced 30.82 mmscmd during the week ending June 24.

The KG-D6 output has fallen since hitting peak of 61.5 mmcmd in March 2010

as RIL shut wells after water and sand ingress.

During the week under review, a "total of 12 wells were on production and 6 wells (A2, A6, A10, B1, B2 & B13) were kept closed due to high water cut/sanding issues," the report said.

The output from KG-D6 is short of the 70.39 mmscmd-level (61.88 mmscmd from D1 and D3 and 8.5 mmscmd from the MA field) envisaged as per the field development plan approved in 2006.

While Reliance holds 60 per cent interest in KG-D6, UK's BP Plc holds 30 per cent and Niko Resources of Canada the remaining 10 per cent.

The report said two out of the six wells on MA field had to be shut due to water loading.