Petronet LNG has gained 31.5 per cent since the closing lows of Rs 122.77 in May. The rise comes on the back of benefits accruing to the company from the steady rise in demand for gas. The supply, however, has been limited, given the falling production from the Krishna-Godavari (KG) basin.

The company’s volumes have risen 6.3 per cent to 135 trillion British thermal units (TBTU), or 2.6 million tonnes, in the September quarter, as compared to 127 TBTU in the June quarter. The company has 10 mtpa capacity at Dahej (Gujarat) and is likely to commission its five mtpa Kochi plant by the March 2013 quarter. However, in the absence of a proper pipeline infrastructure, the contribution from Kochi could remain limited to one mtpa, analysts say. Thus, the benefits from the new capacities will not accrue in the near term.

Though the work at 5-MTPA Kochi terminal is likely to be completed in the current fiscal (FY13), the non-availability of pipeline infrastructure will limit the benefits

Petronet LNG has gained more than 32 per cent since the closing lows of Rs 122.77 in May 2012. The rise comes on the back of benefits accruing to the company from the steady rise in demand for gas. The supply, however, has been limited given the falling production from the Krishna Godavari (KG) basin. The company’s volumes have risen 6.3 per cent to 135 Trillion British Thermal Units (TBTU), or 2.6 MT (million tonnes), in the September 2012 quarter, as compared to 127 TBTU in the June 2012 quarter.

Stating that Reliance Industries Limited (RIL) had not granted full access to KG-D6 block records to Comptroller and Auditor General (CAG), Petroleum and Natural Gas Minister M. Veerappa Moily, on Tuesday, told Parliament that CAG had said that since full access to KG-D6 records was pending, the Petroleum Ministry should examine all relevant issues closely and carefully before considering the desirability of any further approvals of capital expenditure.

Mr. Moily informed the Raja Sabha in a written reply that RIL had agreed to audit by CAG for block KG-DWN-98/3 for the years 2008-09 to 2011-12 without prejudice to the rights and contentions of the contractor under the contractual provisions. Mr. Moily clarified that CAG had not asked Petroleum Ministry to withhold approvals to RIL.

Appoints Foster Wheeler as consultant to prepare project report

Even as domestic gas production has fallen 8 per cent, Oil India Ltd (OIL) is planning to set up a liquefied natural gas ( LNG) receiving terminal in India. The company plans to set up a 2.5-million tonne (mt) capacity terminal. According to an industry executive in the know, Geneva-based Foster Wheeler AG has been appointed consultant to prepare a project report for the foray into imported gas. When asked, Ananth Kumar, director (finance), Oil India, confirmed the appointment of a consultant about a fortnight ago, but did not divulge the name, citing a confidentiality clause in the contract.

The Kerala High Court has directed the Union Ministry of Environment and Forests and the State Government to file an affidavit in response to a writ petition seeking steps to prevent any possible c

Qatar has defended its right to host U.N. talks on slowing global warming even though its greenhouse gas output per capita is the highest in the world and it has made no pledge to cut it.

The wait for the east coast to have a liquefied natural gas (LNG) terminal might get longer, with Bharat Petroleum Corp Ltd (BPCL) and Oil and Natural Gas Corp Ltd (ONGC), the two state-run companies that had proposed to jointly develop a terminal in Mangalore, putting the plan on hold.

Senior executives in both companies say how far the two partners could sell the fuel in the domestic market is under doubt. Given that the Dabhol and Kochi terminals will be commissioned next year, Mangalore will be well-connected by pipelines, said a senior BPCL executive, who requested anonymity.

New Delhi In a rare administrative move, petroleum and natural gas minister Veerappa Moily has withdrawn a note circulated by his predecessor Jaipal Reddy to the members of a ministerial panel, which had opposed an immediate price hike sought by Reliance Industries (RIL) for the gas from its KG-D6 block.

Ministry sources attributed the decision to the matter being considered by the six-member Rangarajan committee, but is widely perceived as a sign of moderation in the way the government views RIL’s demand. Moily’s move also reflects the government’s anxiety to ramp up domestic gas output, crucial for the energy-starved economy.

New Delhi Amid the controversy over the pricing of gas at its KG-D6 block, Reliance Industries (RIL) has reiterated its demand for a steep hike in the price in a letter to the prime minister’s econ