BP, Reliance produce gas from second Indian deepwater field

Oil major BP and India’s Reliance Industries have started production from the Satellite Cluster gas field in block KG D6 off the east coast of India.

BP and Reliance Industries have been developing three deep-water gas developments in the KG D6 block – the R Cluster, the Satellite Cluster, and MJ – which together are expected to produce around 30 mmscmd or 1 billion cubic feet a day of natural gas by 2023.

This meets around 15 per cent of India’s gas demand. The developments will each utilize the existing hub infrastructure in the KG D6 block.

Reliance Industries is the operator of the block with a 66.67 per cent participating interest and BP holds a 33.33 per cent participating interest.

The Indian firm said on Monday that the Satellite Cluster was the second of the three developments to come onstream. It had originally been scheduled to start production in mid-2021.

The field is located about 60 kilometres from the existing onshore terminal at Kakinada on the east coast of India in water depths of up to 1,850 metres.

The field will produce gas from four reservoirs utilizing a total of five wells and is expected to reach gas production of up to 6 mmscmd. Together, the R Cluster and Satellite Cluster are expected to contribute to about 20 per cent of India’s current gas production.

According to Reliance Industries, the third KG D6 development named MJ is expected to come onstream towards the latter half of 2022.

To remind, the duo started production from the R Cluster in December 2020. Also, BP and Reliance sanctioned the Satellite cluster project in April 2018.

McDermott completed the KG-D6 R Cluster subsea field development project and achieved pre-commissioning and ready for startup back in January 2021.

For the KG-D6 R Cluster project, McDermott built a yard facility in India for the fabrication of risers, jumpers, and marine logistics support. The project comprised two offshore campaigns.