Reliance Industries will invest Rs 15,000 crore (Rs 150 billion) towards gas pipeline and development plan for producing gas from the KG-D6 block.

Anil Ambani, vice chairman and managing director, Reliance Industries, said that the company has already submitted a production profile plan to initially produce 40 million cubic metres of gas per day from the D6 block to the directorate general of hydrocarbons with a total expenditure of Rs 15,000 crore.

Of which "Rs 5,000 crore (Rs 50 billion) will be utilised for setting up infrastructure like gas pipelines", he added.

On the high volatility of crude prices, Ambani stated that "nobody can say where the prices will settle. We will have to wait and see where the equilibrium will be set. However, there is one common theme eminating now that the era of $15-25 per barrel is gone and is more like to go for $30-40 a barrel."

Prices of crude have been skirting new peaks for the past few days. It has already touched $55 per barrel.

He elaborated that the global crude prices were driven by geo-political uncertainties in Iraq, Iran and strikes in Nigeria, besides "lot depend the sentiments because of global supplies and ensuing winter".

While the company's refining margins during the second quarter is roughly $8 per barrel from $7 in the first quarter, the company is busy expanding its retail reach. It has till date commissioned over 200 outlets.

 "We have commissioned 100 retail outlets this quarter and 600 more are under construction. By end of this year, we intend to commission 2,000 retail outlets", he added.

Ambani claimed that the throughput from its 200 commissioned retail outlets was 3.5 times more than that witnessed from the outlets belonging to the public sector oil companies.

Meanwhile, on the refining side, he said refining margins are likely to continue at the current level.