GAIL (India) Ltd and Indraprastha Gas Ltd emerge as top bidders in Reliance Industries Ltd s recent e-auction of coal-bed methane gas. The auction, held for 0.90 million standard cubic meters per day, saw GAIL acquiring 0.63 mmscmd and IGL picking up 0.14 mmscmd. Bidders offered premiums of up to USD 11 per million British thermal unit, based on 12.67% of the Brent crude oil price. The gas supply contracts span 1 to 2 years from April 1.
Reliance Gas: GAIL (India) Ltd and Indraprastha Gas Ltd emerge as top bidders in Reliance Industries Ltd s recent e-auction of coal-bed methane gas. The auction, held for 0.90 million standard cubic meters per day, saw GAIL acquiring 0.63 mmscmd and IGL picking up 0.14 mmscmd. Bidders offered premiums of up to USD 11 per million British thermal unit, based on 12.67% of the Brent crude oil price. The gas supply contracts span 1 to 2 years from April 1.
The price of natural gas produced from difficult areas like KG-D6 of Reliance Industries is expected to be reduced by around 14% from next month. The price cut is in line with the softening energy prices. The government bi-annually fixes the prices of locally-produced natural gas. Two different formulas govern rates paid for gas produced from legacy or old fields and for newer fields lying in difficult-to-tap areas.