Reliance Industries Ltd.
BSE: 500325 | NSE: RELIANCE
Large Cap | Refineries
1242.35
-12.65 (-1.01%) RIL signs gas sales and purchase agreement with power companies
Date: 29-04-2009After fertilizer, the second major beneficiary of natural gas from Krishna Godavari D6 block of Reliance Industries (RIL) is the power sector. Accordingly, RIL has signed Gas Sales and Purchase Agreement (GSPA) with 9 power companies for supply of about 11.0 million standard cubic metres (MMSCMD) of natural gas for their 11 different power generation facilities.
These GSPAs are for 5 years with gas price fixed as per formula approved by the government. RIL indicated that the gas to customers would be transported through the East-West pipeline of Reliance Gas Transportation Infrastructure and through the pipelines of GAIL and GSPL.
The incremental power generation in the country could be about 4,000 MW of power on the incremental 18 mmscmd natural gas supplies. The power companies to get natural gas include Reliance Infrastructure, GVK Industries (Phase I and Phase II extension), Torrent Power (for units at Sugen and Vatva), Vemagiri Power Generation, Lanco Kondapalli Power, Gautami Power, Maharashtra State Power Generation Company and Gujarat Paguthan Energy Corporation. crackcrack