Reliance Makes Discovery in Madhya Pradesh

Reliance Industries has made its first onshore gas discovery in the coal bed methane exploration block in Shahdol in Madhya Pradesh. Preliminary reserve estimates place the discovery at 7 - 10 million cubic meters of gas. The is the second largest gas discovery made by the company after the discovery in the Krishna Godavari basin. Reserves on the Shandol block could be bigger that the reserves at the Tapti oilfield.

The onshore blocks of coal bed methane were awarded last year on a competitive basis by the government. Blocks went to Essar, ONGC and Reliance. Reliance was awarded two coal bed methane blocks, Sohagpur West and Sohagpur East under the first round of CBM policy. Sohagpur West and Sohagpur East CBM blocks, comprising area of 500 square kilometers and 495 square kilometers respectively, are located in Shahdol district of Madhya Pradesh. The CBM blocks form a part of Sohagpur Coalfield.