Reliance Industries (RIL) yesterday announced its third consecutive gas discovery (in as many wells) in its deepwater block D-3 in the KG Basin (KG-DWN-2003/1), where it holds a 90% stake (UK-based Hardy Oil owns the remaining 10%).
Analysts await the regulator’s [already under Oil Minister, who is under Reliance] decision on commerciality of the discovery, we believe this discovery reiterates the exploration upside potential of RIL from eastern India offshore. RIL owns 10 blocks in the prolific KG Basin and another 8 blocks in the adjoining prospective Mahanadi basin. No EPS / Estimates have changed on the back of this news yet.
As we move into 201, more news flow from RIL’s other exploration blocks, as two more rigs add to RIL’s current count of three in India (one each in D-6, D-3 and Cauvery Basin).