The Hindu Business Line : RIL hits back at ADAG

The Mukesh Ambani-led Reliance Industries Ltd (RIL), while terming the media trial by Reliance Anil Dhirubhai Ambani Group (ADAG) against KG-D6 project as `malicious and motivated', said that "it is necessary to nip these malafide endeavours in the bud for the sake of the energy security of the country."

In a letter to the Petroleum Ministry on August 20, Mr P.M.S. Prasad, President and CEO - Petroleum, RIL, said, "this totally unprovoked and unjustified attack on the credibility of the project, the Government and RIL by vested interests has only strengthened our resolve and commitment to completely dedicate ourselves to make the development of KG-D6 Block an unparalleled success story."

``We deeply resent all attempts being made to belittle the achievements of scores of dedicated professionals and regulators who by their tireless efforts have made this stupendous achievement possible in such a short time,'' he said.

While giving a detailed justification on the reason behind increase in capex of the project, he said, ``Ultimately cost and profit share in a PSC (production sharing contract) regime are not dependent on capex estimates but have well informed systems of checks and balances to monitor actual cost recovery. This includes tendering procedures, approvals by the Management Committee or the Government, statutory audits, and audit by the Government under the PSC.''

"The Government, anyway, has the power to veto all management committee decisions and hence no approvals or decisions can be taken without the express assent of the Government," he wrote.

Meanwhile, in an interesting turn of events, the media campaigns from the Anil Ambani Group have been withdrawn citing extended weekend.

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