Impact of floods on Gujarat Gas to be Rs.60 million

Gujarat Gas Company Ltd has announced that the Company, which has operations in the city of Surat and the surrounding areas, had continued to supply gas to customers during the recent floods despite the fact that gas supplies to the Company were affected due to stoppage of operations of some of the Company´s gas suppliers. The flood waters had entered the Company´s facilities located at Surat and Mora and also affected a few of the CNG stations.

All the Company assets and properties are, however, adequately insured.

Lower off-take of gas by some of the customers and alternative sourcing of gas supplies at a higher price is expected to impact the Company to the extent of approximately Rs 60 million pretax in the current quarter. The impact is not expected beyond the current quarter.

Source : Equity Bulls

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