RIL's e-auction mechanism for new KG-D6 gas; bidding likely on Oct 11.

Thirteen years after it first undertook a price discovery exercise for natural gas, Reliance Industries, along with UK partner BP, will be selling 5 mscmd (million standard cubic metres a day) from its R-cluster field in the Krishna-Godavari (KG) basin through an e-auction mechanism.

This discovered price would, however, be capped by a ceiling set by the government every six months for gas produced from difficult fields. The base price would be 9 per cent of the average Brent price for three months preceding the delivery date.

BS