Business Daily from THE HINDU group of publications
Monday, Feb 02, 2009
ePaper | Mobile/PDA Version | Audio | Blogs
News
Features
Stocks
Cross Currency
Shipping
Archives
Google

Group Sites

 Industry & Economy - Petroleum
Web Extras - Courts/Legal Issues
Get Latest Quote and Company Info
Centre to decide on cos to get KG basin gas

Our Bureau

Mumbai, Feb. 1

The Government of India would soon decide on which companies would receive natural gas from the Krishna Godavari Basin.

"A decision would be arrived at shortly on which company would get how much gas from the KG basin," said Mr R.S. Pandey, Petroleum Secretary.

The gas would be sold according to the gas utilisation policy of the Government with sectors like power and fertilizer plants getting preference.

Mr Pandey said though the schedule of production has to be ascertained, the gas production would be increased in phases. He, however, declined to put any number on the production levels.

Ministry officials would be meeting with Reliance officials soon to discuss the production plan, he said.

Last week, the Bombay High Court had allowed Reliance Industries to sell natural gas from its KG basin block at a Government approved price of $4.20/mmbtu. Mukesh Ambani-controlled Reliance Industries was allowed to sell natural gas to companies other than Anil Ambani-controlled Reliance Natural Resources Ltd (RNRL) till the final judgement is pronounced by the court.

He was speaking on the sidelines of a function organised to pay tribute to the martyrs of 26/11. Mr Murli Deora handed out petroleum product dealerships to the families of army and police personnel killed in the terrorist attacks.

Oil Bonds

The Petroleum Secretary also said the remaining oil bonds would be issued to oil marketing companies in the first quarter of the next fiscal.

He estimated the total under-recoveries to be around Rs 1 lakh crore.

The Government has been issuing oil bonds to oil marketing companies to help the PSUs tide over the under-recoveries on account of selling petroleum products at administered prices.

The contribution made by oil producing companies such as GAIL and ONGC would be around Rs 32,000 crore, Mr Pandey said.

On Saturday, the Petroleum Minister, Mr Murli Deora, said the Government may help oil PSUs by issuing more oil bonds in case oil prices rise further.

Related Stories:
HC allows Reliance to sell KG basin gas at $4.20

More Stories on : Petroleum | Reliance Industries Ltd | Courts/Legal Issues

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Govt-RBI assessment says financial system essentially sound, resilient

Reports lists reasons for not urging separation of debt management
Celebrating life
Gujarat lauded for health mission spend
Aeroshow swells demand for hotel rooms
Karnataka writes to Maytas Infra on 2 airport projects
IndianOil takes the contract route to woo talent
Centre to decide on cos to get KG basin gas
Row over site for thermal plant in AP
Inkel to enter hydro-electric generation sector
Payment dues to small units: Banks not adhering to RBI guideline
M.R. Venkatesh, Chartered Accountant; Dhanalakshmi College, Mahabalipuram
Finance Minister to discuss realty sector woes with PSB chiefs
Provident Housing offers ‘affordable units’ near Chennai
‘Indian engineering graduates have global opportunities’
Country’s talent pool makes a beeline for PSU jobs
Central Drug Authority proposal shelved
Gujarat summit promises big push to port sector


Brandline
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | The Hindu ePaper | Business Line | Business Line ePaper | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright © 2009, 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