subject: Aarkstore - Kg-d6, Krishna Godavari Basin, India Commercial Asset Valuation And Forecast To 2025 [print this page] Aarkstore announce a new report "KG-D6, Krishna Godavari Basin, India Commercial Asset Valuation and Forecast to 2025 " through its vast collection of market research report.
KG-D6, Krishna Godavari Basin, India Commercial Asset Valuation and Forecast to 2025 - KG-D6 Block (KG-DWN-98/3) is located in offshore Krishna Godavari Basin, in Indias east coast. It is located in the Bay of Bengal at a water depth of around 8000 ft. and around 50 Kms from the nearest coast of Kakinada in the state of Andhra Pradesh. The block produces oil and gas, and covers an area of around 7,645 square kilometers.
Reliance Industries Ltd. (RIL) is the operator of KG-D6 block, and holds 90% equity stake and the remaining 10% equity stake is held by Niko Resources Ltd. Commercial oil and gas was discovered in KG-D6 block during 2002 and produced its first oil from KG-D6 MA field on 17th September 2008. Gas production commenced from KG-D6, Dhirubhai 1 and 3 (D1 & D3) gas fields on 2nd April 2009, in a record time of six-and-a-half years from the time of discovery.
KG- D6 fields reservoir contains sweet light crude oil with an average specific gravity of around 42 degrees API. It is the worlds largest gas discovery in the year 2002. The block is estimated to contain total ultimate recoverable 2P reserves of around 11.3 Trillion Cubic Feet (TCF) of natural gas and around 140 million barrels of crude oil. KG-D6 fields remaining 2P reserves as of December ending 2009 was around 10.98 TCF of natural gas reserves and around 136.64 million barrels of crude oil.
KG-D6 block produced approximately 318.19 BCF of natural gas from D1 and D3 fields and 2,426.40 thousand barrels from MA oil fields during the year 2009. KG-D6 block is estimated to reach it oil and gas peak production capacity of 2.82 BCF per day and 140,000 BOPD in the year 2011, with a total peak production of around 172.94 million barrels of oil equivalent.
The block life of KG-D6 is expected to be around 17-18 years with complete abandonment during 2025. The block is expected to generate $90.13 billion in gross revenues (undiscounted) during its remaining life (starting 1/1/2010) and is expected to yield an IRR of around 21.28%
Scope
- The report provides detailed information on oil and gas production, infrastructure, reserves, geology, operator and equity partners and the latest fiscal terms applicable to the asset and provides its fair value (Remaining Net Present Value) based on remaining reserves, forecast production, capital and operational costs, fiscal regime and commodity prices.
- The report also provides additional valuation parameters like Internal Rate of Return (IRR), Profitability Index (PI), Pay Back (discounted and undiscounted), Entitlement Production (EP) and Working Interest (WI) to enhance your decision making process.
- This report provides detailed sensitivity analysis of the remaining NPV with changes in the commodity prices, discount rate, production and key fiscal terms.
- Detailed cash flows over the life of the asset are included in the report. These cash flows cover a wide range of calculations related to various payments to the government/licensing authority.
- Interactive Excel models can be used to derive custom valuations, sensitivities and cash flows based on the specific inputs by the user in the model. These custom inputs vary from production data, cost information, price information and fiscal terms information.
Reasons to buy
- Make well informed investment decisions based on detailed operational analysis and cash flow forecasts
- Estimate the fair value of your future investment under different economic and fiscal conditions
- Value a prospective investment target through a comprehensive analysis using focused forecasting and valuation methodologies.
- Supporting interactive excel model will enhance your decision making capability in a more rapid and time sensitive manner
- Evaluate how the changes in the countrys fiscal policies impact the cash flows and the present value of the asset
