MUMBAI : Reliance Industries Ltd\u2019s (RIL) oil and gas business, which remained sluggish in the last two quarters, is expected to improve, after the company started production from the new R cluster in the Krishna-Godavari Basin fields last week. Analysts expect production from the cluster to push domestic gas volumes and contribute 3% to RIL\u2019s earnings and cash flows by 2023.<\/p>\n
The R Cluster is expected to reach peak production of 13 million metric standard cubic metres (mmscmd) a day in 2021 and plateau thereafter. Two other fields, Satellite Cluster and MJ Field, are expected to begin producing in 2021-22. RIL and partner BP plc have together invested $6 billion in the project. \u201cRIL\u2019s announced start of gas production will support 48% rise in domestic gas supplies after years of flattish output. The new production should contribute ~3% of earnings and cash flows by 2023,” said Morgan Stanley in a note to clients.<\/p>\n
In fact, analysts estimate a strong revival in earnings from RIL\u2019s refining and petrochemicals segments, which have been displaying sluggishness for over two quarters, primarily due to covid-19.<\/p>\n","protected":false},"excerpt":{"rendered":"
MUMBAI : Reliance Industries Ltd\u2019s (RIL) oil and gas business, which remained sluggish in the last two quarters, is expected to improve, after the company started production from the new R cluster in the Krishna-Godavari Basin fields last week. Analysts expect production from the cluster to push domestic gas volumes and contribute 3% to RIL\u2019s earnings and cash flows by 2023. The R Cluster is expected to reach peak production of 13 million metric standard cubic metres (mmscmd) a day in 2021 and plateau thereafter. Two other fields, Satellite Cluster and MJ Field, are expected to begin producing in 2021-22. […]<\/p>\n","protected":false},"author":44,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[139,130,187],"tags":[],"class_list":["post-391703","post","type-post","status-publish","format-standard","hentry","category-live-mint","category-newspapers","category-oil-gas-live-mint"],"acf":[],"_links":{"self":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/391703","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/comments?post=391703"}],"version-history":[{"count":0,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/391703\/revisions"}],"wp:attachment":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/media?parent=391703"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/categories?post=391703"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/tags?post=391703"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}