Comments
In what is seen as not so good a news for public sector natural gas explorer and producers like ONGC, Oil India, the government has decided to keep the gas price stable at $1.79 per million British thermal units (MMBTU) in the six-monthly revision on Wednesday. The new price and ceiling will be effective till September.
It was also a setback for players like Reliance Industries-Bp which produce gas from challenging areas, as the government has reduced the price ceiling on the production from discoveries in deep-water, ultra deep-water, and high pressure-high temperature areas to $3.62 per MMBTU from the already low of $4.06 per MMBTU.
A notification by the Petroleum Planning and Analysis Cell (PPAC) said that the price of domestic natural gas for April 1 to September 30 in 2021 was kept at $1.79 per MMBTU on a gross calorific value basis. For natural gas produced from deepwater, ultra-deepwater and high-pressure high-temperature areas, it was kept at $3.62 per MMBTU.
Natural gas prices are decided in India once in every six months based on a formula depending on the weighted average of global benchmarks such as Henry Hub, Alberta gas, NBP and Russian gas.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.