Probe Suggests Unfair Gains Made By Reliance India Ltd. From ONGC’s Field In KG Basin

The Logical Indian

September 9th, 2016 / 5:13 PM

Source: economictimes | Image Courtesy: qzprodcountercurrents

On the 31st of August, 2016, Mukesh Ambani-led Reliance Industries Limited was indicted in a dispute with the Oil and Natural Gas Corporation of India after the AP Shah Committee noted that it had made unfair gains from ONGCs oil fields in the Krishna-Godavari basin. According to the report made by the panel, RIL had received ‘unjust benefit’ from oil that had flown into its KG 6 field from ONGC’s adjacent one.

Just a day after this report came out, Mukesh Ambani unveiled the ambitious Reliance ‘Jio’, and the news of the committee’s report was lost in the din.


So, what did this committee find?
The report pertains to a dispute over-extraction of natural gas that made news in July 2013, when ONGC wrote to the director-general of hydrocarbons seeking data on an adjoining block that was under RIL Just before the April 2014 Lok Sabha elections, the three parties to the dispute – ONGC, RIL, and the director-general – agreed to hire an independent consultant to sort out claims and counter-claims regarding interconnectivity of the reservoirs from which they were extracting natural gas. But even as the results were about to be declared, ONGC filed a petition in the Delhi High Court. ONGC alleged that RIL’s wells were “so drilled and constructed that there is a pre-planned and calculated slant/angular incline towards the gas reserves of (the) petitioner with a clear idea to tap the same.”

Overall, ONGC accused RIL of drawing natural gas worth Rs 30,000 crore from the former’s wells.
The implications of the committee’s findings and report are not good news to RIL, and even though the company might try to hide it with Jio launch, it will affect the financials of RIL in a big way.


Contributors

Written by :

Edited by :

Related Stories

AMU Sedition

Republic TV, AMU Clash: Police Say Early Probe Suggests No Evidence To Support Sedition Charges Against Students

This 70-Year-Old Dug A 33-Feet Well For 18 Months To Irrigate His Field

After Rotomac & Nirav Modi, Kanpur-Based Shri Lakshmi Cotsyn Ltd. Defaults On Rs 3,600 Crore Loan From 16 Banks

The Art And Science Of Effective Research In The Field Of Policymaking

I Am Here To Bat And Will Not Leave The Field Anytime Soon, Says Jignesh Mevani On His Win

Sri Lanka

‘Overreaction’ Or ‘Offended Reaction’? Indians On Sri Lankan Cricketers Vomiting On The Field Due To Delhi Smog

Latest on The Logical Indian

Opinion

Article 15: Bold Characters & Sharp Storytelling Mirror A Society In Despair

News

Assam Floods: At Least 11 Dead and 26 Lakh Affected Across 28 Districts

News

Breaking Glass Ceiling: Anshula Kant Becomes First Woman To Be Appointed As MD And CFO Of The World Bank

My Social Responsibility

This Delhi Man Gives Accident Victims Free Rides To Hospitals In The City’s Only ‘Auto Ambulance’

News

Uttarakhand: Administration Shuts Down ‘Lakshman Jhula’ In Rishikesh After Being Declared Unsafe By Experts

News

UP: 3rd Year Dalit Student Commits Suicide After Harassment By Upper-Caste Classmates

x

Stories that deserve attention, delivered to your inbox!

Handpicked, newsworthy stories which deserve the attention of a rational generation.