This story is from March 16, 2012

RIL’s KG-D6 gas fields may hold lower reserves: Niko

Reliance Industries’ offshore KG-D6 fields may hold lower than previously anticipated natural gas reserves, the company’s minority partner Niko Resources said on Thursday.
RIL’s KG-D6 gas fields may hold lower reserves: Niko
NEW DELHI: Reliance Industriesoffshore KG-D6 fields may hold lower than previously anticipated natural gas reserves, the company’s minority partner Niko Resources said on Thursday.
The Canadian firm in a statement said it expects a drop in reserves at Dhirubhai-1 and 3 (D1 & D3), the largest of the 18 gas finds in KG-D6 block.
“Production performance at the D1/D3 fields within the D6 block indicates the need for a revision to the current geological model.
While analysis continues, Niko anticipates a drop in its reserves for the D1/D3 fields,” the company said without giving details.
D1 & D3 had previously been stated to hold about 11 trillion cubic feet of gas reserves.
Niko, which holds 10% stake in the RIL-operated KG-DWN-98/3 or KG-D6 block off the Andhra coast, had last month stated that gas production in the October-December quarter from the D6 block averaged 40.49 million cubic meters per day, as compared to 55.21 mmcmd in the year-ago period.
D6 gas production in December averaged approximately 137 mmcfd (38.79 mmcmd for the entire block), Niko had said. “Declines are expected to continue until workovers are completed and/or additional wells are tied in,” it had added.
The current output is less than half of the peak 80 mmcmd that RIL had projected. agencies
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