Reliance Industries Ltd.

Reliance Industries  (RIL), the country’s largest corporate has reduced investment on the sagging gas fields in KG-D6 block by almost $3 billion to $5.92 billion due to an unexpected decline in reserves. The gas output from the D6 block is expected to decline to 20 million standard cubic metres a day (mscmd) in 2014/15, less than half the 60 mscmd it produced in 2010 and well below planned peak capacity of 80 mscmd.

In August, the company had submitted a revised field development plan (FDP) for the Dhirubhai-1 and 3 (D1&D3), the only producing gas fields among a total of 18 gas discoveries made so far in the KG-D6 block in Bay of Bengal. But in the earlier FDP in 2006, it had proposed an investment of $8.836 billion in two-phases on the fields, while the revised FDP has outlined a further investment of only $235 million over and above $5.693 billion that has already been spent.