New Delhi, Dec 30 (.) The Reliance Industries Limited (RIL) has strongly refuted media reports that claimed the Centre is seeking USD 30 billion from the company and its partner BP over alleged underproduction from a gas field.
In a communique issued here on Tuesday, the company said the report was factually incorrect and based on unnamed and unidentified sources.
RIL clarified that there is no claim of USD 30 billion against Reliance Industries or BP.
According to the company, the actual amount involved in the dispute related to the KG-D6 gas block is approximately USD 247 million, which has already been disclosed in its annual audited financial statements in line with regulatory and disclosure requirements.
“The publication of a report such as this based on unnamed and unidentified sources is inappropriate and irresponsible,” the company said, adding that the contents of the report mischaracterise facts related to the matter.
Reliance stated that the issue referred to in the report is currently sub judice and will be decided by the judicial system in accordance with Indian law. The company said it has full faith in the judicial process and reiterated that it has complied with all contractual and legal obligations at all times.
The company also emphasised that the USD 247 million claim made by the Government of India has been consistently disclosed in its financial statements over the years. RIL said the reporting of a much larger figure created a misleading impression and did not reflect the actual status of the dispute.
Reliance Industries, together with its partner BP, took strong exception to what it described as the misrepresentation of facts in the report. The company maintained that it has adhered to all terms of the production sharing contract governing the KG-D6 block.
The clarification comes amid heightened scrutiny of large energy projects and their compliance with contractual production targets. RIL’s statement seeks to put on record its position that the reported $30 billion claim does not exist and that the matter under litigation is significantly smaller in scope and value.
The company said it will continue to engage with the legal process and expressed confidence that the issue will be resolved in accordance with the law.
. SAS SRY