Premature, says RIL about govt penalty on its Panna Mukta-Tapti oil field

RIL official says fine amount still to be decided; media reports put the figure at $3 bn

The government has ordered Reliance Industries (RIL) to pay a penalty over an arbitration award on its Panna Mukta and Tapti (PMT) oil field, the company has informed BSE in a statement on Tuesday. The company, however, said the notice was premature.

"RIL as part of the contractor for Panna Mukta and Tapti production sharing contracts, has been notified by [the] Government of India (GOI) of its computation of the purported share of GOI's Profit Petroleum and Royalty alleged to be payable by the contractor pursuant to the GOI's interpretation of Arbitration Tribunal's final partial award dated 12 October 2016," RIL