Reliance discovers oil in Cambay basin

RIL holds 100% participating interest in the block which covers an area of 635 square kilometres. Gainers: BSE ( A, B ), NSE | Losers: BSE ( A, B ), NSE I 52 Week: High, Low

By Agencies | Nov 10, 2009, 10.43 AM IST

MUMBAI: Mukesh Ambani-led Reliance Industries on Tuesday said it has made the first oil discovery at an exploratory block in the Cambay basin in Gujarat.

The company has found oil for the first time in the exploratory block 'CB-ONN-2003/1', it said in a filing to the Bombay Stock Exchange.

RIL holds 100 per cent participating interest in the block in the Cambay basin, which was awarded under fifth round of the New Exploration Licensing Policy (NELP). The block covers 635 square kilometres.

"The discovery, named 'Dhirubhai-43' has been notified to the Government of India and Directorate General of Hydrocarbons. Commerciality of this discovery is being ascertained through more data gathering and analysis," the filing said.

In October, Reliance Industries had surrendered 14 blocks back to the government after incurring an expenditure of Rs 1,400 crore in unsuccessful exploration.

RIL had in the New Exploration Licensing Policy (NELP) rounds won 45 blocks and of these it has surrendered 14 blocks back to the government as it could not find commercially recoverable oil and gas, sources close to the company said.

The company had invested over Rs 13,200 crore in exploring oil and gas and their appraisal in the 45 blocks but made commercial discoveries only in two blocks - KG-D6 in Krishna Godavari basin and NEC-25 in Mahanadi basin.

Shares of the company were trading at Rs 2,084.00, up 2.94 per cent from the previous close on the BSE.

Start a SIP with as low as ₹500 with ET Money App!