Reliance Buys Stake in Shale Gas Assets in Natural Resources
Reliance Industries Ltd., a leading business giant in India, has proclaimed to purchase a considerable stake in the gas assets of Natural Resources Co. in a deal worth.
This will be Reliance's second buyout in the last three months.
In the a dual Eagle Ford project with Natural resources , the Company will invest $879 million for the drilling process, in addition to the $266 million to be paid for the installation of the project.
The agreement will provide RIL a 45% stake in the shale assets. The assets account to 212,000 acres of area.
In April, RIL purchased $1.7 billion of shale-gas assets from Atlas Energy Inc. in Pennsylvania. With this is earned a partnership with Royal Dutch Shell Plc, BP Plc, Statoil ASA and Exxon Mobil Corp.
The deal announcement raised the Company's shares by 0.5% to 1,064.25 rupees in the Mumbai stock market. Its benchmark index jumped 0.4%.
The Company's proprietor, Mukesh Ambani, said that he is aiming to expand the business in shale gas sector.
"We will enhance efficiencies across the chain by drawing on our experience in drilling and project management. We will commit capital alongside proven low-cost operators", he said.