INDIA: Reliance Industries to invest $2 bn in next two quarters for oil exploration

Reliance Industries Ltd, which would commence commercial production of gas from KG basin this year, will invest $ 2 bn in oil exploration and production in the next two quarters.

"We would be investing USD 1 billion in each of the next two quarters on exploration and development activities," Reliance Industries Chief Financial Officer Alok Agarwal told reporters here.

Commercial production from the KG basin would begin before the end of this year, he said.

On Reliance Retail, Agarwal said the company has been opening more than one store a day. "We have opened 450 stores so far. We are expanding our Reliance Fresh stores," he said.

Reliance Retail has identified nine formats for expansion. These include grocery, home care, apparel and accessories, FMCG, consumer durables and IT, automotive accessories, and lifestyle products.

Agarwal confirmed that Reliance Retail would not list on stock exchanges, at least in the near future. "Initial public offer is not an immediate priority for Reliance Retail. We are looking at a much larger footprint in 2008."

A few days ago, Reliance Industries sold its shares in Reliance Petroleum in the open market. "The share sale was to monetise our holding in Reliance Petroleum. They were sold to retail investors," he said.

RIL has sold its investments in RPL to invest in new projects. "We are finding newer and newer investment (opportunities)," Agarwal added.

Via: India Economic Times

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