New Delhi- Resolution of RIL’s $247 million KG basin cost recovery dispute with GoI seen in New Year Deepwater exploration is risky, and under the New Exploration and Licensing Policy, production-sharing contracts allow companies to recover exploration costs.RIL developed the KG-D6 block in record time, which to date is India’s most successful deepwater producing block.Reliance Industries Ltd (RIL), the operator of the KG-D6 oil block since 2000, is contesting a $247 claim by the government for additional profit petroleum from KG-D6 in an international arbitration. As this process enters its last leg, a resolution can be expected in 2026, according to industry sources familiar with the case.The long-running dispute arose after the government disallowed recovery of part of the costs already invested by an RIL-led consortium. The consortium, which also included the UK’s BP Plc and Canada’s Niko Resources, has built deepwater facilities in the KG-D6 block, a first-of-its-kind in India.Deepwater exploration and producti
Resolution of RIL’s $247 million KG basin cost recovery dispute with GoI seen in New Year
