(EnergyAsia, May 27 2013, Monday) — Reliance Industries Limited (RIL) and its partners BP and Niko Resources Ltd said they have made a “significant” gas and condensate discovery in the KG D6 block off the eastern coast of India.

The KGD6-MJ1 well was drilled in a water depth of 1,024 metres – and to a total depth of 4,509 metres – to explore the prospectivity of a Mesozoic Synrift Clastic reservoir lying over 2,000 metres below the already producing reservoirs in the D1-D3 gas fields, said BP.

Formation evaluation indicates a gross gas and condensate column in the well of about 155 metres in the Mesozoic reservoirs. In the drill stem test, the well flowed 30.6 million standard cubic feet per day (mmscf/d) and liquid rate of 2,121 b/d with a choke of 36/64 inches with a flowing bottom hole pressure of 8,461 psia suggesting good flow potential. Well flow rates during such tests are limited by the rig and well test equipment configuration.

The discovery, named ‘D-55’, is expected to add to the hydrocarbon resources in the KG D6 block. Appraisal will now commence to better define the scale and quality of the field, said BP.

RIL is the operator of KG D6 with 60% equity while BP has a 30% share and Niko the remaining 10%.

P.M.S. Prasad, RIL’s executive director, said:

“This is a successful outcome of the combined exploration efforts of the joint venture partners with the active support of the GoI. We shall embark on the appraisal program in the next few months in order to evaluate the options for developing this discovery.

Mike Daly, BP’s executive vice president for exploration, said:

“The discovery demonstrates the effective technical co-operation between the partners, allowing us to make a new and significant discovery within KG D6. It follows an 18 month drilling time-out and detailed geoscience work that has re-focused our India exploration program and delivered this early success.”

Edward Sampson, chairman, President and CEO of Niko Resources Ltd, said:

“We congratulate our partners and the government of India as co-operation in an event like this shows what good can be created for the energy sector and most importantly, for the people of India.”

The discovery was announced a week after BP held its first board meeting in India and met with senior Indian government and business leaders including the country’s President, Pranab Mukherjee.

In February 2013, BP and Reliance had announced a plan to enhance KG D6 block’s reserves to four trillion cubic feet (tcf). BP believes India has the potential to find significantly more oil and gas, which requires policy and regulatory support to attract the investment, right technology and capability to find and develop the resources.