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Having reversed the falling output at KG-D6, Reliance Industries and its partner BP plc will quadruple production at the eastern offshore fields to around 40-45 million standard cubic meters per day by 2020.
With addition of a well this month jacking up output by 2.5 mmscmd to 13.7 mmscmd, RIL-BP is repairing shut wells that will help further raise output to 16 mmscmd.
"At the end of 2013 we were producing around 11 mmscmd of gas (from KG-D6). With the (well) interventions that we are doing right now and also the fact that the oilfield (the block) which is producing most of its oil and now we are getting ready to blow down the gas in that. All this together, we hope to at least increase the production by another 50 per cent (to about 16 mmscmd)," BP India head Sashi Mukundan said.
He said new fields in the KG-D6 blocks will start coming on stream from 2018 and "we get all the right support and approvals from the government then we hope to quadruple our production by 2020."
The Bay of Bengal KG-D6 fields, which began gas production in April 2009, had hit a peak of 69.43 mmscmd in March 2010 before water and sand ingress led to shutting down of more than one-third of the wells.
While the company carries out remedial measures to augment production from the currently producing Dhirubhai-1 & 3 (D1&D3) and MA fields, it plans to invest USD 3.155 billion in producing 20 mmscmd of gas from R-Series discoveries in the block and another USD 1.529 billion in four satellite fields to produce 10 mmscmd.
Another USD 1.2 billion is planned to be invested in other discoveries in the block.
The company will invest USD 747 million in augmenting production from D1&D3 and MA fields by putting up booster compressor and repair work at the closed wells.
RIL-BP have already invested USD 7.572 billion in development of D1&D3 and MA fields, USD 1.261 billion of operating expenses and USD 1.094 billion in exploring for oil and gas in the block.
Mukundan said notification of a new gas price from April is a step in the right direction in terms of getting towards the arms length market-determined pricing.