Rs 2,037
Target Price: Rs 2,540
Potential Upside: 25%
Sector avg.
upside: 10% to 20%
(mkt cap wtd)
Relative to sector: Outperformer

KG OIL PRODUCTION BEGINS RIL announced first oil from its MA oil field in the KG D6 block. The current production level is ~7kbopd, which will be ramped up to peak production levels of ~40kbopd in 12-15 months. However, first gas from D1 & D3 fields in the same block is now delayed to Q4FY09 (earlier Nov’08) on tough weather conditions and a tight supply chain.