Low KG Gas Price Thwarts Reliance

摘要

India faces another potential setback in its quixotic attempt to hold out against the seemingly inexorable rise in global energy prices.This time the issue is not the price of imported LNG,but rather the value of domestic reserves(WGI Nov.16,p3).Reliance Industries has been seeking for months to bring one or more experienced Western oil major into its deep-water gas development in the Krishna-Godavari(KG)Basin.But Reliance is valuing the reserves at prevailing global prices,even though it has tied up 11 million cubic meters(388 million cubic feet)per day of the output for 17 years at a mere 2.97 per million Btu to state power generator National Thermal Power Corp.(NTPC)and possibly as much as 28 MMcm/d(988 MMcf/d)to others under related terms.