Mumbai: Shares of Reliance Industries Ltd declined more than 3 percent on Thursday after its Canada-based partner Niko Resources said that the firms's flagging KG-D6 gas block holds 80 per cent less reserves than previously estimated.
After a weak opening, shares of the company further lost 3.49 percent to touch a low of Rs 711.85 on the BSE.
Similarly, at the NSE the heavyweight stock dropped 3.49 percent to Rs 711.60.
The stock was the worst performer among the BSE 30-scrip index, Sensex.
Decline in the stock pushed the BSE Sensex 52.80 points down to 16,843.83.
Proved plus probable reserves at Krishna Godavari basin D6 block has decreased to 1.93 Trillion cubic feet from about 9.65 Tcf previous estimate, Niko said in a statement.
Niko holds 10 percent stake in KG-DWN-98/3 or KG-D6 block where RIL is the operator with 60 percent interest. The remaining 30 percent is held by BP plc of UK.
In its 'Reserves and Contingent Resources Update', the Canadian oil and gas producer said total proved plus probable natural gas reserves in its various blocks have fallen almost 51 percent to 377 billion cubic feet equivalent (bcfe) mainly due to lower reserves in KG-D6.
PTI
First Published: Thursday, June 21, 2012, 13:52