The Petroleum Ministry is mulling filing a defamation suit against an Anil Ambani Group firm for persisting with "false claims" pertaining to government revenues from Reliance Industries KG-D6 fields.
The Petroleum Ministry is mulling filing a defamation suit against an Anil Ambani Group firm for persisting with "false claims" pertaining to government revenues from Reliance Industries KG-D6 fields.
The ministry is contemplating seeking law ministry view on slapping the suit on RNRL over a claim that government share from KG-D6 initially will be just Rs 500 crore, while RIL will earn a super-normal profit of Rs 49,500 crore.
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Sources in the ministry stated that RNRL and its executives stuck to this claim despite the government clarifying in a written statement that its revenues from KG-D6 over the life of the field would be more than Rs 84,000 crore, with a clear objective to "malign and tarnish its image."
The file prepared for the same notes that government's take from KG-D6 in the first year of gas production will be Rs 700 crore at a minimum output of 40 mmscmd.
At peak output of 80 mmscmd, likely next year, the government will get Rs 1,200 crore in royalty and profit share. Sources said the file is likely to go before Petroleum Secretary R S Pandey and Petroleum Minister Murli Deora before it is sent to Law Ministry for opinion.
In any case, the earnings will be more than Rs 500 crore, they said pointing out that royalty at the USD 4.2 per mmBtu approved price alone came to Rs 541 crore in the first year.
Meanwhile, sources said Congress MP K S Rao wrote to the Prime Minister on August 24 stating that the Anil Ambani group was using the country's top two law officers to further its business interests.
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