GOVERNMENT COMPELLED TO SEEK $ 1.55 BILLION FROM RELIANCE INDUSTRIES LTD FOR SEEPING GAS FROM ONGC BLOCKS.

The Oil Ministry has sent a notice to Reliance Industries Ltd seeking $ 1.55 billion compensation for seeping gas from ONGC blocks in the Krishna Godavari basin of the Bay of Bengal for the last seven years (between April 1, 2009 and March 31, 2015.)  Justice A.P.Shah committee in its report presented to the oil ministry on August 30, 2016 had opined that RIL should pay the government for natural gas seeped from the adjacent ONGC block.The report further said “RIL’s action of producing and selling gas migrated from ONGC block is unjust enrichment.”

(source: The Hindu dated 05-11-2016.)