Petronet LNG of India Revised Contract with RasGas of Qatar

⪻ Articles ⪼

Biggest state owned gas importer Petronet LNG of India has signed a revised contract with RasGas of Qatar to import gas at a significantly lower price than earlier. Under the new contract

  • From 1st January 2016, RasGas will supply Liquefied Natural Gas (LNG) to Petronet at 6 - 7 dollar per million British thermal units (mmBtu) .
  • Until the long-term contract ending in April 2028, It would supply to 7.5 million tonnes of LNG India.
  • The new rate is lower than 12 - 13 dollar per mmbtu then earlier.
  • And it has been revised after falling global prices of oil and gas, saving consumers around ₹ 4,000 crore.

Comment

  • The new price formula is win-win situation for both countries.
  • It is also Union Government՚s biggest diplomatic win to power India՚s position as one of the world՚s biggest energy consumers by striking better price bargains for its companies.

Examrace Team at