Reliance under lens for alleged $1.55-billion gas theft from ONGC fields

The Bombay HC has issued notice on a petition seeking probe against RIL and its directors, including Mukesh Ambani, for allegedly stealing over $1.55 billion worth of natural gas from neighbouring Oil and Natural Gas Corporation's wells in the KG Basin off the coast of Andhra Pradesh.

The development follows a petition seeking CBI investigation on the matter.

Key things to know about the matter:

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• The petition alleges that between 2004 and 2013-14, RIL drilled its KG-D6 blocks in a manner that allowed “sideways” extraction of gas belonging to ONGC’s northern fields
• The estimated value of the allegedly diverted gas is over $1.55 billion (around Rs 13,000-14,000 crore), plus about $174.9 million in interest
• The petitioner has sought criminal charges against RIL and its directors for theft, fraud and criminal breach of trust
• The Bombay High Court has given the CBI and Union government time until November 11, 2025, to respond
• RIL argues the gas was “migratory” -- naturally crossing block boundaries -- making the extraction lawful
• The company says the issue is part of an older civil–arbitral dispute, not a new controversy
• Consultant DeGolyer and MacNaughton (D&M) earlier noted that gas migration did occur, though the legal implications remain contested
• The High Court issuing a notice does not indicate guilt; it is only the first procedural step
• The court has asked whether a full CBI probe is needed, whether an FIR should be filed, and whether any contractual seizure is warranted
• If the CBI is allowed to investigate, it could signal that major resource-related disputes may involve criminal liability, not just civil claims
• The case is significant due to the scale of alleged irregularity in a resource-based contract (KG-D6 gas block)
• Experts believe the matter could become a landmark for questions around corporate liability, contract norms, regulatory accountability and how oil-gas block agreements operate in practice