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

Edited by :

Share your thoughts..

Related Stories

Sambit Patra Appointed As Independent Director Of ONGC, Supreme Court Asks Centre Why

Statue of Unity

PSU Companies Including ONGC, Indian Oil Contribute Rs 121 Crore For Construction Of Statue Of Unity

ONGC

“The Water Supplied To Our Homes Is Yellow In Colour”: Villagers In Tamil Nadu Protest ONGC Pipeline Leak

Neduvasal Hydrocarbon Extraction Project

Tamil Nadu: Villagers & Environmentalists Protest Neduvasal Hydrocarbon Extraction Project

Reliance Ports Gets Irregular Tax Benefits

Reliance Ports Gets Rs 1,767 Crore Irregular Tax Benefits: CAG

ONGC Buying Stakes Of GSPC

Public Owned ONGC Buying Stakes At Rs 20,000 Crore Debt-Ridden Gujarat Firm GSPC, It Smells Of A Scam

Latest on The Logical Indian

Exclusive

The Institutes Of Eminence And The Jio Institute Furor: The Wrong Debate For India And Its Youth

Get Inspired

Paralysed At 18 To Becoming A Para-athlete At 30; Meet Haryana’s Ekta Bhyan Who Won Gold For India

News

People Accused Of Crimes By CBI Being Appointed As CBI Officers; Complains CBI To Vigilance Commission

TLI Explains

TLI Explains: Can Aligarh Muslim University Allow Reservation For SC/ST Students?

Awareness

3.5 Cr Elderly Poor Are Being Given Pension Of Mere Rs 200 For Last 12 Yrs

News

Chennai: 12-Yr-Old Raped By 22 Men For 7 Months In Apartment Complex; Girl Was Drugged & Filmed

x

Stories that deserve attention, delivered to your inbox!

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