Saurabh Patel, Minister of State for Energy and Petrochemicals said the commercial exploitation of the gas will have to wait for a few years.

Chief Minister Narendra Modi had projected six years ago on the basis of studies sponsored by the GSPC, which included 2D and 3D data analysed by experts, that the block would have 20 TCF gas. GSPC has been able to find 10.8 TCF after digging 15 wells. Once the entire Deen Dayal block of 1,850 square kilometers is dug up, total gas found in the KG basin might exceed 20 TCF, the minister said.

Patel advised the House that on June 19, 2009 GSPC presented a development plan of the KG basin to the director-general hydrocarbons (DGH) to begin recovering gas and use it commercially. We have spent INR37.88 billion for digging 15 wells, of which only three were failures. We plan to spend an additional INR70 billion to dig up more wells. Once DGH gives its nod to the state’s development plan, it will take at least two-and-a-half months to go in for commercial production, he said.

It was not revealed by the energy minister whether 10.8 TCF has been approved by the DGH. He also did not declare how much of the 10.8 TCF gas he announced in the House is genuinely recoverable, as per DGH analysis.

The minister said the state government has represented to the Central government to allow the GSPC to use the KG basin gas. We have tied up with Reliance for bringing gas by pipeline to Gujarat. However, without Central approval, it would be impossible to bring any gas to Gujarat, the minister said.