Gujarat Gas subsidiary amends terms and conditions for gas sales contract

Gujarat Gas Company Ltd has announced about the following:

1. Gujaratgas Trading Company Ltd ("GTCL"), a wholly-owned subsidiary of the Company and the Cairn Energy led consortium comprising of the Cairn group of Companies, Oil and Natural Gas Corporation Ltd and Tata Petrodyne Ltd ("Lakshmi Sellers") have amended the terms and conditions of the existing Gas Sales Contract (GSC) for the supply of gas from the Lakshmi Gas field to GTCL dated May 30, 2001.

Under this arrangement the Lakshmi Sellers would supply natural gas from the Gauri gas field along with gas from the Lakshmi Gas field to GTCL in accordance with the amended terms and conditions of the GSC which would partially offset the declining availability of natural gas from the Lakshmi field under the original GSC.

2. GTCL has also separately executed an agreement with the CB JV (comprising of the Cairn group of Companies, Oil and Natural Gas Corporation Ltd and Tata Petrodyne Ltd) for the Ambe Gas field ("Agreement") which is to be developed by the CB JV. Under the Agreement, the CB JV has given GTCL the first right to purchase 37.35% of the natural gas produced from the Ambe field whenever the same becomes available, on the terms and conditions offered by the CB JV at that time.

Source : Equity Bulls

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