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September 07, 2008


RIL to start production of CBM by September 2008

ET reported that Reliance Industries Limited is expected to begin production of coal bed methane from its Sohagpur blocks in Madhya Pradesh by September 2008, much ahead of the scheduled mid 2009.

RIL is de watering the production wells to separate gas from water to be completed by July 2008 and the production of gas from the block will commence by September 2008. It aims to produce around 5 million cubic meters of gas a day from the blocks, most of which will be used for the 500 MW power plant planned by the company in the area.

RIL will start with a production of around 1 million cubic meters a day of gas from the block to get to a peak level of 5 million cubic meters of gas a day over the next couple of years. The block is estimated to have around 3.6 trillion cubic feet of gas reserves.