Natural gas production to jump two-fold by 2011-12

NEW DELHI: India's natural gas production will more than double to 170
million standard cubic meters per day by 2011-12 after fields such as
Reliance Industries' eastern offshore KG-D6 reach peak output.

In 2007-08, domestic production at 79.40 mmscmd and 31.50 mmscmd from
import LNG met some 60 per cent of the demand, according to latest
projections made by the Petroleum Ministry.

State-run Oil and Natural Gas Corp (ONGC) will produce 47.06 mmscmd of
gas this fiscal, almost unchanged from 47.19 mmscmd of 2007-08. This
output will rise to 51.65 mmscmd by 2011-12, while Oil India Ltd will
contribute 10 mmscmd.

Reliance Industries' KG-D6 will start producing this year at an
initial rate of 40 mmscmd, rising to 60 mmscmd in 2009-10 and to 80
mmscmd in 2011-12. When KG-D6 hits peak, the share of fuel produced by
fields operated by private sector firms would touch 102.57 mmscmd (in
2011-12).

The projections anticipate an additional 2 mmscmd output from Mahanadi
basin NEC-25 field of Reliance in 2011-12 and 4.5 mmscmd from Gujarat
State Petroleum Corp's Krishna Godavari basin field.

India's import of liquefied natural gas (LNG) is also slated to more
than double to 23.25 million tons by 2011-12 from 9 million tons in
2007-08 after Dabhol, Kochi and Mangalore terminals become
operational.

Petronet LNG's Dahej terminal will see capacity doubling to almost 12
million tons and Shell's Hazira terminal is seen operating at 2.5
million tons, unchanged from present times. Dabhol may import 5
million tons, Kochi 2.5 and Mangalore 1.25 million tons, the
projections stated.

Together with 81.38 mmscmd of LNG, the country's total gas
availability will touch 252.09 mmscmd in 2011-12 from 110.9 mmscmd
now.