Rs 80,000 cr investment: Reliance Industries, others get relief over KG-D6, 6 blocks
Sources said companies like Reliance Industries had already invested close to USD 16 billion in the 39 blocks since 2000 after getting approval from the Defence Ministry at every stage - first for beginning seismic survey, then for drilling wells and then for constructing permanent oil and gas facilities.
Oil Ministry officials insisted that Defence Ministry cannot withdraw the clearance after 12 years of exploration.
Blocks like KG-D6 were awarded to companies since 2000 by the Cabinet after clearance from all ministries concerned including the Ministry of Defence.
The reason for classifying the Krishna Godavari basin block KG-D6, where UK's BP Plc has 30 per cent interest, as 'No-Go' area is that it overlaps with a proposed Naval base.
Reliance Industries-BP's NEC block NEC-OSN-97/2 where sizable gas discoveries have been made, also has been classified as "No-Go" area as it is close to missile launching range/air force exercise area.
Sources said the other "No-Go" blocks are with ONGC and reasons cited for withdrawing clearance include being close to missile launching range, overlapping with proposed Naval base, overlapping with Naval firing range and Air Force exercise area.
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