The US shale gas business of Reliance Industries continued to disappoint with a 6.5 per cent decline in revenues in the fourth quarter at Rs 1,286 crore as compared with Rs 1,376 crore in the same quarter of the previous fiscal.

The EBIT margins for the shale gas segment also declined to 26.1 per cent from 31.8 per cent in the comparable period previous fiscal.

Lower volumes, coupled with sharply lower realisation, resulted in overall revenues and EBITDA for this quarter being lower by 33 per cent and 48 per cent respectively, RIL said. The company said that the long term outlook for the shale gas business remains promising.

“Given the weak commodity price environment, RIL’s shale gas business is focussed on capital preservation by moderating activity levels, reducing service costs and improving efficiencies. Ensuring profitable development and retaining optionality through high grading acreages and improving netbacks will be the key challenges going forward,” RIL said.