Financial Daily from THE HINDU group of publications
Thursday, Jan 13, 2005
Financial Daily from THE HINDU group of publications Thursday, Jan 13, 2005 |
|
|
|
|
|
Industry & Economy
-
Petroleum Agri-Biz & Commodities - Commodity Exchanges Gujarat State Petro postpones online gas trading
Archana Chaudhary
Mumbai , Jan. 12 GUJARAT State Petroleum Corporation Ltd (GSPC) has postponed online trading of natural gas on the multi-commodities exchanges. The company was to commence online gas trading in December 2004. The petroleum corporation, which was in talks with the National Commodity and Derivatives Exchange (NCDEX), has also initiated talks with the Multi Commodities Exchange (MCX) for a similar trading agreement. "GSPC is still in talks with NCDEX for trading. But it has informed us that it will take some more time," said Mr Narendra Gupta, Chief Business Officer, NCDEX. GSPC is the single largest buyer of imported natural gas in the country today, making it one of the most sought after customers for the commodities exchanges. GSPC had signed an agreement to purchase one million tonnes of regassified LNG from GAIL and is in talks with other suppliers for more, the company said in a letter to the MCX. According to a GSPC official, the company is in the process of drawing up parameters for entering an agreement with any of the exchanges to begin online trading. GSPC has appointed a sub-committee comprising board members, which will submit its report to the board on the procedures to be adopted for any agreement, the official said. GSPC plans to realign its pipelines subsidiary Gujarat State Petronet Ltd to work as a warehouse for smaller customers interested in trading gas in the spot markets. It will also introduce futures contracts at a later date. Currently, only four bourses - New York Mercantile Exchange, London International Petroleum Exchange, Singapore Exchange Derivatives Trading and Sydney Exchange - offer a platform for energy future. GSPC had applied to the Forward Markets Commission in late 2003 asking for permission to set up a Gas Futures Exchange; the request was turned down. It had, in turn, asked GSPC to try introducing gas trading on the existing national multi-commodities exchanges. The trading will be conducted for gas moved through its proposed 2,500-km pipeline across Gujarat, of which 430 km has been built.
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2005, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|