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Oct 2015
Adani Petronet Port Pvt Ltd -- a JV between Petronet LNG Ltd and the Adani Group -- is expanding its capacity at Dahej from 11.7 MMTPA to 23 MMTPA.
8The port mostly handles dry cargo such such as coal, de-oil cake (DOC), fertilizer raw materials, cement, steel, silica, rock phosphate, wheat, rice, among other materials.
8The reasons for the expansion is a 50% growth in cargo traffic over the last three years.
8The proposal involves expansion of the cargo handling capacity, reclamation of land and other additional infrastructure facilities for the handling cargoes.
8The port will meet the cargo potential around Dahej Industrial Regions
8The JV has drawn up projections of the kind and quantity of cargoes that will be handled in the future.
8The investment plans are also laid down
Click on our Reports section for more information. Details
8The port mostly handles dry cargo such such as coal, de-oil cake (DOC), fertilizer raw materials, cement, steel, silica, rock phosphate, wheat, rice, among other materials.
8The reasons for the expansion is a 50% growth in cargo traffic over the last three years.
8The proposal involves expansion of the cargo handling capacity, reclamation of land and other additional infrastructure facilities for the handling cargoes.
8The port will meet the cargo potential around Dahej Industrial Regions
8The JV has drawn up projections of the kind and quantity of cargoes that will be handled in the future.
8The investment plans are also laid down
Click on our Reports section for more information. Details
8Cairn India is looking for reinsurers for assets spread over 9 blocks across India, Sri Lanka and South Africa.
--The company is seeking to shortlist reinsurers for placement of its Asset Insurance Policy
--Cairn is looking for experienced Standard & Poors “A-“ rated (minimum) reinsurers
8For reference purposes, the website carries here details on GAIL's dividend payment record over the years
The data contains the following:
--Dividend payment history
--Type of dividendpaid
--Dividend percentage over the years
--Amount paid to the exchequer
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--The company is seeking to shortlist reinsurers for placement of its Asset Insurance Policy
--Cairn is looking for experienced Standard & Poors “A-“ rated (minimum) reinsurers
8For reference purposes, the website carries here details on GAIL's dividend payment record over the years
The data contains the following:
--Dividend payment history
--Type of dividendpaid
--Dividend percentage over the years
--Amount paid to the exchequer
Click on reports for more Details
Madras Fertilizers Limited, (MFL) is exploring the possibility of using the Krishnapatnam Port to transport imported gas as feedstock for producing urea.
8MFL are weighing the option of moving natural gas from Krishnapatnam Port through cryogenic road tankers.
8The company has already cleared the proposal and talks are currently on over how the logistics will work out
8It would take at least a year for them to set up storage tanks at the port.
8Krishnapatnam port is situated about 150 kilometer (km) north of MFL’s plant. Andhra Pradesh-based KEI-Ros Petroleum & Energy is setting up an LNG import terminal at the port.
8It is also laying a 250 km gas pipeline connecting Nellore and Ennore, which is likely to be commissioned by December 2017.
8Simultaneously, not wanting to take a chance, MFL is also in discussions with Indian Oil Corporations (IOC) and Gas Authority of India (GAIL) to procure natural gas.
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8MFL are weighing the option of moving natural gas from Krishnapatnam Port through cryogenic road tankers.
8The company has already cleared the proposal and talks are currently on over how the logistics will work out
8It would take at least a year for them to set up storage tanks at the port.
8Krishnapatnam port is situated about 150 kilometer (km) north of MFL’s plant. Andhra Pradesh-based KEI-Ros Petroleum & Energy is setting up an LNG import terminal at the port.
8It is also laying a 250 km gas pipeline connecting Nellore and Ennore, which is likely to be commissioned by December 2017.
8Simultaneously, not wanting to take a chance, MFL is also in discussions with Indian Oil Corporations (IOC) and Gas Authority of India (GAIL) to procure natural gas.
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A study has warned that the oil industry does not have a path for the developing world to emerge out of the looming climate change crisis..
8By blocking specific renewables targets and legislative measures to reduce demand for oil; and by promoting instead measures which will have only a marginal impact on carbon emissions in the relatively short time frame available for action, oil majors are deliberately blocking the ‘low carbon pathway’ that the World Bank states is necessary to prevent a climate and international development crisis.
8Until their actions are commensurate with the objective of limiting global temperature increase to 2°C, the oil industry will be seen for what it is actually doing: undermining attempts to avoid catastrophic climate change, and ultimately undermining international development as well.
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8By blocking specific renewables targets and legislative measures to reduce demand for oil; and by promoting instead measures which will have only a marginal impact on carbon emissions in the relatively short time frame available for action, oil majors are deliberately blocking the ‘low carbon pathway’ that the World Bank states is necessary to prevent a climate and international development crisis.
8Until their actions are commensurate with the objective of limiting global temperature increase to 2°C, the oil industry will be seen for what it is actually doing: undermining attempts to avoid catastrophic climate change, and ultimately undermining international development as well.
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The proposition from international oil and gas majors that global emissions can be controlled by appropriately pricing carbon emission is faulty, according some critics.
The devil seems to be in the details of the pricing mechanism.
8As of yet, their is no consensus on the pricing level necessary to achieve switching. Moreover lack of globally coordinated approach within the time available, means that carbon pricing is being used as a ruse to buy the oil and gas industry time delay making fundamental changes in their business and production models.
8It is now highly unlikely that 190 nations will be able to agree on a global frame work to coordinate their energy policies within the time available to ensure climate stability.
8Carbon price changes will only deliver a marginal change.
8Even the economically orthodox World Bank doesn’t see carbon pricing working on its own without a clear and coherent path towards usage of 100% renewal energy.
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Details
The devil seems to be in the details of the pricing mechanism.
8As of yet, their is no consensus on the pricing level necessary to achieve switching. Moreover lack of globally coordinated approach within the time available, means that carbon pricing is being used as a ruse to buy the oil and gas industry time delay making fundamental changes in their business and production models.
8It is now highly unlikely that 190 nations will be able to agree on a global frame work to coordinate their energy policies within the time available to ensure climate stability.
8Carbon price changes will only deliver a marginal change.
8Even the economically orthodox World Bank doesn’t see carbon pricing working on its own without a clear and coherent path towards usage of 100% renewal energy.
Click on the Reports for more.
Details
There is also sharp criticism over oil and gas companies advocating to switch coal for gas as a fuel to generate power.
8This has also been the position of BP and other multinationals for a number of years.
8Although gas is a less carbon intensive than coal, the numbers and the rhetoric don’t match.
8The reality is that gas may not needed of governments push renewal energy as a viable option particularly when its cost is plummeting.
8According to a recent report the time for coal-to-gas switching as a strategy has almost certainly passed because there is no time left to stop emission of green house gasses given that the world is already warming up fast.
8It is increasingly dif?cult to justify large-scale investment in unabated gas-?red infrastructure, the report states.
8If economies have access to plentiful supplies of cheap solar power, including on rooftops, and demand for electricity decouples from economic growth – as it has been doing in 2014 - then natural gas will not be needed as a “transition fuel” to wean the world off coal.
8Shell projects that gas demand won’t peak till after 2040 or 2050, but to avoid catastrophic climate change, gas generation needs to peak much sooner, around 2030-40, according to studies.
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8This has also been the position of BP and other multinationals for a number of years.
8Although gas is a less carbon intensive than coal, the numbers and the rhetoric don’t match.
8The reality is that gas may not needed of governments push renewal energy as a viable option particularly when its cost is plummeting.
8According to a recent report the time for coal-to-gas switching as a strategy has almost certainly passed because there is no time left to stop emission of green house gasses given that the world is already warming up fast.
8It is increasingly dif?cult to justify large-scale investment in unabated gas-?red infrastructure, the report states.
8If economies have access to plentiful supplies of cheap solar power, including on rooftops, and demand for electricity decouples from economic growth – as it has been doing in 2014 - then natural gas will not be needed as a “transition fuel” to wean the world off coal.
8Shell projects that gas demand won’t peak till after 2040 or 2050, but to avoid catastrophic climate change, gas generation needs to peak much sooner, around 2030-40, according to studies.
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A recent study published in "Nature" found that one third of all existing oil reserves must be left in the ground in order to achieve global climate goals.
8The oil industry’s stand however has been different.
8The oil majors are betting on the world failing to limit temperature increase to below 2°C
8Shell, BP, and ExxonMobil have all made clear that they do not foresee even a 50% chance of limiting temperature increase to 2°C as projected by " IEA's 450 Scenario".
8The oil industry’s fossil fuel projections suggest a temperature increases of 4°C or higher.
8Shell blames world governments for not taking the desired steps to keep levels down.
8BP states that actual emissions level will remain well above the benchmarks set by many agencies. Moreover, according to BP, CO2 emissions will be recorded at least 8 billion tonnes above IEA's recent prediction by 2035.
8Whereas ExxonMobil states that it is possible to regulate the GHG emissions to some extent but it not likely that the governments will choose this path in light of the negative implications on economic growth.
8In other words, these multinationals are betting on more oil and gas reserves being used to fuel the energy needs of the globe even though temperatures may rise to cataclysmic levels.
Click on the Reports for more. Details
8The oil industry’s stand however has been different.
8The oil majors are betting on the world failing to limit temperature increase to below 2°C
8Shell, BP, and ExxonMobil have all made clear that they do not foresee even a 50% chance of limiting temperature increase to 2°C as projected by " IEA's 450 Scenario".
8The oil industry’s fossil fuel projections suggest a temperature increases of 4°C or higher.
8Shell blames world governments for not taking the desired steps to keep levels down.
8BP states that actual emissions level will remain well above the benchmarks set by many agencies. Moreover, according to BP, CO2 emissions will be recorded at least 8 billion tonnes above IEA's recent prediction by 2035.
8Whereas ExxonMobil states that it is possible to regulate the GHG emissions to some extent but it not likely that the governments will choose this path in light of the negative implications on economic growth.
8In other words, these multinationals are betting on more oil and gas reserves being used to fuel the energy needs of the globe even though temperatures may rise to cataclysmic levels.
Click on the Reports for more. Details
With the lowering of the domestic gas prices to US$ 4.20 /mmbtu (on NCV basis) for H2 FY 16 and also expected fall in the long-term R-LNG prices from the current levels of US$ 13.5/mmbtu, the pooled prices for fertilizers is likely to reduce to US$ 9.1-9.3/mmbtu during H2 FY 16 from US$ 9.8-9.9/mmbtu during June-July 2015.
8This should lower the cost of production of urea, which in turn would reduce the subsidy burden for the Government. For a fall of every US$ 1/mmbtu in gas price, the retention price of urea would reduce by Rs. 1800-2000/ ton.
8Hence, expected reduction in the pooled prices to US$ 9.1-9.3 should lead to subsidy savings of ~Rs. 12-13 billion for the Government for H2 FY 16 (assuming the currency to remain stable).
8Lower subsidy for the industry would in turn lead to lower working capital borrowings for the companies and enable them reduce their interest cost.
8Further, lower pooled gas prices would favourably impact the profitability of revamped urea capacities earning IPP- based pricing.
8Also, the profitability of producers of non-urea fertiliser such as ammonium nitro-phosphate, which are produced using domestic gas would improve.
8Additionally, chemicals manufactured by integrated fertiliser-chemicals complexes may also witness improvement in profitability as cost of production will decrease while their prices are generally driven by international prices of these chemicals.
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8This should lower the cost of production of urea, which in turn would reduce the subsidy burden for the Government. For a fall of every US$ 1/mmbtu in gas price, the retention price of urea would reduce by Rs. 1800-2000/ ton.
8Hence, expected reduction in the pooled prices to US$ 9.1-9.3 should lead to subsidy savings of ~Rs. 12-13 billion for the Government for H2 FY 16 (assuming the currency to remain stable).
8Lower subsidy for the industry would in turn lead to lower working capital borrowings for the companies and enable them reduce their interest cost.
8Further, lower pooled gas prices would favourably impact the profitability of revamped urea capacities earning IPP- based pricing.
8Also, the profitability of producers of non-urea fertiliser such as ammonium nitro-phosphate, which are produced using domestic gas would improve.
8Additionally, chemicals manufactured by integrated fertiliser-chemicals complexes may also witness improvement in profitability as cost of production will decrease while their prices are generally driven by international prices of these chemicals.
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With downward revision in domestic gas price, overall cost of domestic gas based power generation is estimated at 3.9 Rs/kwh for a standard power plant, which reflects a decline of about 11% over that with gas at earlier delivered cost of about US$ 6.1/mmbtu.
8For every US$ 1/mmbtu increase in cost of gas, cost of generation shows an increase of 50 paise/unit, under the assumption of prevailing exchange rate, while for depreciation of INR against USD by 1 INR, cost of generation shows an increase of 4 paisa/unit.
8As a result, cost of power generation will remain vulnerable to volatility in gas prices internationally as well as the INR-USD exchange rate.
8With deterioration in domestic gas availability since March 2011 & alternate fuel (R-LNG) being not cost competitive against other thermal sources, average PLF for gas based capacity on all India basis in FY 2014-15 declined sharply to 20.8% as against 66.2% in FY 2010-11.
8As a result, share of gas based power generation in the overall electricity generation on all India basis has declined from 13% in FY 2011 to 4% in FY 2015.
8In case domestic gas availability were to remain at the current level for the power sector, decline in the gas price would lead to savings of 1.8 paisa/kwh for the distribution utilities on all India basis at delivered gas cost (i.e. at US$ 5.2/mmbtu) & at INR/USD rate of 66. This in turn will constitute a relief of about 0.4% in the overall cost of power supply for the distribution utilities on all India basis.
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8For every US$ 1/mmbtu increase in cost of gas, cost of generation shows an increase of 50 paise/unit, under the assumption of prevailing exchange rate, while for depreciation of INR against USD by 1 INR, cost of generation shows an increase of 4 paisa/unit.
8As a result, cost of power generation will remain vulnerable to volatility in gas prices internationally as well as the INR-USD exchange rate.
8With deterioration in domestic gas availability since March 2011 & alternate fuel (R-LNG) being not cost competitive against other thermal sources, average PLF for gas based capacity on all India basis in FY 2014-15 declined sharply to 20.8% as against 66.2% in FY 2010-11.
8As a result, share of gas based power generation in the overall electricity generation on all India basis has declined from 13% in FY 2011 to 4% in FY 2015.
8In case domestic gas availability were to remain at the current level for the power sector, decline in the gas price would lead to savings of 1.8 paisa/kwh for the distribution utilities on all India basis at delivered gas cost (i.e. at US$ 5.2/mmbtu) & at INR/USD rate of 66. This in turn will constitute a relief of about 0.4% in the overall cost of power supply for the distribution utilities on all India basis.
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Following the sharp fall in the international benchmark prices, domestic gas price is expected be cut to $ 4.2/mmbtu (on a net heat value basis) over the next 6 months, effective from October 1, 2015.
8The price cut will hurt ONGC’s FY16 earnings by 5% as gas contributes 40% of its upstream production.
8Reliance Industries (RIL) will not be impacted immediately as the gas price differential is now zero, and any upswing beyond $ 4.2/mmbtu is deposited in a different account due to ongoing arbitration.
8On the other hand, the City Gas Distribution (CGD) companies are expected to gain the most as the segment gets 100% allocation of cheap domestic gas.The fall in price raises CGD margins though the government will dictate that lower prices to be passed on to customers..
8IGL, MGL and other companies which are pure plays in the CGD business, will be the biggest beneficiary. GAIL and GSPL shall gain marginally.
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8The price cut will hurt ONGC’s FY16 earnings by 5% as gas contributes 40% of its upstream production.
8Reliance Industries (RIL) will not be impacted immediately as the gas price differential is now zero, and any upswing beyond $ 4.2/mmbtu is deposited in a different account due to ongoing arbitration.
8On the other hand, the City Gas Distribution (CGD) companies are expected to gain the most as the segment gets 100% allocation of cheap domestic gas.The fall in price raises CGD margins though the government will dictate that lower prices to be passed on to customers..
8IGL, MGL and other companies which are pure plays in the CGD business, will be the biggest beneficiary. GAIL and GSPL shall gain marginally.
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In what can only be dubbed as an insensitive and highly unconscionable act, the GAIL brass has challenged the imposition of a meager Rs 20 lakh fine for gross negligence that resulted in the explosion in the company's KG Basin gas pipeline network that killed 22 people in their sleep.
8The plea that was taken by GAIL is that its appeal before the PNGRB before the fine was levied was not fully head by the Board.
8The GAIL counsel also argued that the regulator failed to take into account the huge volume of investment made by the company after the blast took place.
8The counsel for GAIL provided elaborate arguments to the effect that the PNGRB should not have imposed a fine as the order is a result of a quasi-criminal proceedings in which a penalty was not to be imposed unless the petitioner either acted deliberately in defiance of law or was guilty of dishonest conduct or acted in conscious disregard of its obligation.
8The gas major said that it was unfair on the part of the PNGRB to impose a Rs 20 lakh fine and then top it up with a per day levy of Rs one lakh if the fine was not paid up on time.
8Natural justice was not done as required under Article 14 of the Constitution as the hearing the other side was not properly done before a judgement is passed, the company had argued.
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8The plea that was taken by GAIL is that its appeal before the PNGRB before the fine was levied was not fully head by the Board.
8The GAIL counsel also argued that the regulator failed to take into account the huge volume of investment made by the company after the blast took place.
8The counsel for GAIL provided elaborate arguments to the effect that the PNGRB should not have imposed a fine as the order is a result of a quasi-criminal proceedings in which a penalty was not to be imposed unless the petitioner either acted deliberately in defiance of law or was guilty of dishonest conduct or acted in conscious disregard of its obligation.
8The gas major said that it was unfair on the part of the PNGRB to impose a Rs 20 lakh fine and then top it up with a per day levy of Rs one lakh if the fine was not paid up on time.
8Natural justice was not done as required under Article 14 of the Constitution as the hearing the other side was not properly done before a judgement is passed, the company had argued.
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The PNGRB however rejected the plea for a revision of the penalty imposed.
8The Board said in its order that a government ordered enquiry committee had found that GAIL had defaulted on multiple provisions of the guidelines prescribed by the PNGRB.
8GAIL had also failed to adequately answer why wet gas was carried in the pipeline when regulations specifically do not allow for such gas to be carried.
8The gas major had also been accused of failing to take adequate pipeline safety measures, including the use of corrosion inhibitors despite specific recommendations to do so in the KG Basin pipeline network.
8What is more, the Regional Gas Management Centre at Rajamundry -- that was meant to oversee the functioning of the pipeline -- was not functional and its histogram features were not working. This hampered regular analysis of the functioning of the pipeline.
8GAIL also did not take cognizance of the warning signals that came by way of five leaks reported just before the blast took place.
8GAIL had no explanation for the non-compliance with various regulatory requirements to ensure safety of the pipeline, the PNGRB said.
8In a brazen act, the gas major also dragged its feet on the submission of more details demanded by the regulator on the pipeline blast.
8PNGRB had held that internal corrosion was the principal reason for the pipeline blast.
8No satisfactory explanation was forthcoming from GAIL on the accident, the Board had observed.
8According, the PNGRB has now upheld the fine imposed on GAIL for the blast.
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8The Board said in its order that a government ordered enquiry committee had found that GAIL had defaulted on multiple provisions of the guidelines prescribed by the PNGRB.
8GAIL had also failed to adequately answer why wet gas was carried in the pipeline when regulations specifically do not allow for such gas to be carried.
8The gas major had also been accused of failing to take adequate pipeline safety measures, including the use of corrosion inhibitors despite specific recommendations to do so in the KG Basin pipeline network.
8What is more, the Regional Gas Management Centre at Rajamundry -- that was meant to oversee the functioning of the pipeline -- was not functional and its histogram features were not working. This hampered regular analysis of the functioning of the pipeline.
8GAIL also did not take cognizance of the warning signals that came by way of five leaks reported just before the blast took place.
8GAIL had no explanation for the non-compliance with various regulatory requirements to ensure safety of the pipeline, the PNGRB said.
8In a brazen act, the gas major also dragged its feet on the submission of more details demanded by the regulator on the pipeline blast.
8PNGRB had held that internal corrosion was the principal reason for the pipeline blast.
8No satisfactory explanation was forthcoming from GAIL on the accident, the Board had observed.
8According, the PNGRB has now upheld the fine imposed on GAIL for the blast.
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Human lives are cheap in India and it is only in India that a company can get away with a Rs 20 lakh fine for the death of 22 people.
8In any other country damages would have amounted to billions of dollars that could have made a company go bankrupt.
8And brazenly enough, the gas major decided to challenge the imposition of the megre fine, as if its gross negligence was something that should have been overlooked by the PNGRB on some legal pretext.
8In fact the regulator should be questioned as to why such a miniscule amount has been imposed for an accident that claimed 22 lives.
8The point now is to see what kind of criminal procedures are launched on the GAIL brass for loss of life.
8So far no tangible action has been taken for willful neglect whereas this certainly attracts provisions of the IPC.
8The management will have to take the rap for such gross negligence.
8Who is going to bell the cat remains a moot point.
8It is learnt that a PIL is going to be filed on the blast soon.
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8In any other country damages would have amounted to billions of dollars that could have made a company go bankrupt.
8And brazenly enough, the gas major decided to challenge the imposition of the megre fine, as if its gross negligence was something that should have been overlooked by the PNGRB on some legal pretext.
8In fact the regulator should be questioned as to why such a miniscule amount has been imposed for an accident that claimed 22 lives.
8The point now is to see what kind of criminal procedures are launched on the GAIL brass for loss of life.
8So far no tangible action has been taken for willful neglect whereas this certainly attracts provisions of the IPC.
8The management will have to take the rap for such gross negligence.
8Who is going to bell the cat remains a moot point.
8It is learnt that a PIL is going to be filed on the blast soon.
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Subsequent to the GAIL pipeline blast, PNGRB has released a notice wherein it has dictated that all records of industial incidents covered under the "Level-I" definition should be maintained by the entity concerned for inspection whenever called for inspection while "Level-II" and "Level-III" incidents should be reported to the Board in the format specified and placed at Schedule-VI.
8The report should also be submitted within 48 hours after occurrence of an incident
8It further clarifies that, all major, minor and near miss incidents will have to be reported to PNGRB in the quarterly report which shall be submitted within 30 days of the end of quarter.
8All entities engaged in refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas have been directed to submit incident reports to the PNGRB, failing which adverse inference against the entity would be drawn up and reported.
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8The report should also be submitted within 48 hours after occurrence of an incident
8It further clarifies that, all major, minor and near miss incidents will have to be reported to PNGRB in the quarterly report which shall be submitted within 30 days of the end of quarter.
8All entities engaged in refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas have been directed to submit incident reports to the PNGRB, failing which adverse inference against the entity would be drawn up and reported.
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Our neighboring country China seems to have prepared a conducive environment to scale up its shale gas output.
8Decreasing well costs and increasing experience in developing shale gas wells have been supplemented with continued government investment in China.
8Difficulties faced in increasing CBM output have led China to look at fast tracking development of shale gas resources, taking a similar path toward shale development as it did with CBM.
8China's technically recoverable shale gas resources are estimated at a massive 1,115 Tcf. What part of these resources become economically recoverable will depend on the market price of natural gas, including both pipeline gas and liquefied natural gas, in relation to the capital and operating costs and productivity of shale gas production within China.
8In the past four years there have been more than 700 shale gas wells drilled in China, and production levels have reached 0.38 Bcf/d.
8As Chinese companies gain experience producing from shale, the cost of shale gas drilling has declined. By mid-2015, the cost of drilling a horizontal well in shale formations in the Sichuan Basin was between $11.3 million and $12.9 million per well, a 23% reduction compared with the level in 2013.
8China has invested heavily in joint ventures in U.S. shale plays, making up as much as 20% of total foreign investment in U.S. shale plays. These investments have provided China with valuable expertise that can be applied to its own domestic production, helping lower well development costs.
8In 2012, to encourage the exploration of shale gas, the Chinese government established a four-year, $1.80/mmbtu subsidiy program for any Chinese company reaching commercial production of shale gas. In mid-2015, these subsidies were extended to 2020, but at a lower rate.
8Initial shale gas development has been focused on the Longmaxi formation in the Sichuan Basin, which is estimated to hold technically recoverable volumes of 287 Tcf.
8Two large Chinese companies, Sinopec and PetroChina, are on schedule to reach an output of 0.6 Bcf/d of shale gas production by the end of 2015.
8Although still a small fraction of China's overall production, estimated at 13.0 Bcf/d in 2014, increasing shale gas output could eventually help meet growing demand for natural gas in China and limit the growth of the country's natural gas imports.
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IOCL’s plan to expand its LPG bottling plant in Tirunelveli, Tamil Nadu may have to wait and the application will have to be reprocessed.
8The reprocessing will have to be carried out due to the fact that the Gangaikondan Deer Sanctuary was notified recently as Wild Life Sanctuary, which is at close proximity to the bottling facility.
8Hence, the proximity of the plant to the Wild Life Sanctuary attracts special conditions under the EIA.
8Therefore, IOCL will to again process its application with an amended TOR.
The details of the proposed and existing capacities are as follows:
8Proposed capacity
-- Mounded bullets for LPG storage - 3 x 600MT
-- LPG throughput -1,20,000MTPA
8Existing capacity
-- LPG storage bullets - 3 x 600MT
-- LPG bottling capacity (throughput) - 1,20,000MTPA
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8The reprocessing will have to be carried out due to the fact that the Gangaikondan Deer Sanctuary was notified recently as Wild Life Sanctuary, which is at close proximity to the bottling facility.
8Hence, the proximity of the plant to the Wild Life Sanctuary attracts special conditions under the EIA.
8Therefore, IOCL will to again process its application with an amended TOR.
The details of the proposed and existing capacities are as follows:
8Proposed capacity
-- Mounded bullets for LPG storage - 3 x 600MT
-- LPG throughput -1,20,000MTPA
8Existing capacity
-- LPG storage bullets - 3 x 600MT
-- LPG bottling capacity (throughput) - 1,20,000MTPA
Click on details for more. Details
The Petroleum and Natural Gas Regulatory Board (PNGRB) invites bids from interested parties for development of City Gas Distribution network in 34 areas.
8The interested bidders may bid for one or more geographical area (GA) depending on their eligibility.
8Sale of the bid document will commence on 13th October 2015.
8The state wise list is as follows:
-- Gujarat has identified 8 locations
-- Haryana(4)
-- Punjab(3)
-- Maharashtra(2)
-- Uttar Pradesh(2)
-- Karnataka( 2)
-- Uttrakhand(1)
-- Goa (1)
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8The interested bidders may bid for one or more geographical area (GA) depending on their eligibility.
8Sale of the bid document will commence on 13th October 2015.
8The state wise list is as follows:
-- Gujarat has identified 8 locations
-- Haryana(4)
-- Punjab(3)
-- Maharashtra(2)
-- Uttar Pradesh(2)
-- Karnataka( 2)
-- Uttrakhand(1)
-- Goa (1)
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CGD players are expected to gain the most from the price cut, as per the report.
8IGL, in particular, will benefit through a 10% margin expansion should it decide to keep CNG prices unchanged.
8However, IGL will most likely cut CNG prices in its bid to enhance volumes by improving CNG competitiveness against petrol and diesel.
8CNG prices could be cut by approximately 3% thereby improving its competitiveness to petrol and diesel to 56% and 17% from 55% and 14% earlier, respectively.
8GSPL also stands to benefit as it has stakes in Gujarat’s CGD companies, and also accounts for 1/3rd of its volumes.
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8IGL, in particular, will benefit through a 10% margin expansion should it decide to keep CNG prices unchanged.
8However, IGL will most likely cut CNG prices in its bid to enhance volumes by improving CNG competitiveness against petrol and diesel.
8CNG prices could be cut by approximately 3% thereby improving its competitiveness to petrol and diesel to 56% and 17% from 55% and 14% earlier, respectively.
8GSPL also stands to benefit as it has stakes in Gujarat’s CGD companies, and also accounts for 1/3rd of its volumes.
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RIL may have to settle for a third of $12/mmbtu it had sought for the gas from its 2 CBM blocks in Madhya Pradesh.
This compares with $10?11/mmbtu that Essar and GEECL charge for gas from their fields, as the government had approved a minimum floor price for these fields.
8Essar, operates the Raniganj (East), has already approved price of $ 6.3/mmbtu and GEECL, which operates Raniganj (South), has an approved price of $ 6.8/mmbtu).
8There are very less chances of any significant impact on RIL’s FY17E earnings due to this, as CBM constitutes 0.1% of consolidated revenues.
8RIL’s CBM blocks in Sohagpur East and West are expected to commence production this fiscal.
8The gross in?place CBM potential of the eastern block is 1.69 trillion cubic feet (47.7 billion cubic metres), while it is 1.96 trillion cubic feet (55.5 billion cubic metres) in the other block.
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This compares with $10?11/mmbtu that Essar and GEECL charge for gas from their fields, as the government had approved a minimum floor price for these fields.
8Essar, operates the Raniganj (East), has already approved price of $ 6.3/mmbtu and GEECL, which operates Raniganj (South), has an approved price of $ 6.8/mmbtu).
8There are very less chances of any significant impact on RIL’s FY17E earnings due to this, as CBM constitutes 0.1% of consolidated revenues.
8RIL’s CBM blocks in Sohagpur East and West are expected to commence production this fiscal.
8The gross in?place CBM potential of the eastern block is 1.69 trillion cubic feet (47.7 billion cubic metres), while it is 1.96 trillion cubic feet (55.5 billion cubic metres) in the other block.
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ONGC seeks permission from the ministry to allow the treated effluent generated from the Kesanapalli facility (Gas gathering station) to be released in the sea in the adjacent Bay of Bengal.
8The oil and gas major has established facilities for the extraction of oil and gas in Kesanapalli village located about 36 km from Amalapuram and 90 km from Rajahmundry in Andhra Pradesh.
8The effluent is generated from the Kesanapalli facility is treated in the ETPs.
8ONGC has also proposed a diffuser at the seaward end with adequate number of diffuser ports to achieve maximum dilution.
8For reference purpose website carries here the hydro dynamic model report as also the geophysical surveys associated with the project.
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8The oil and gas major has established facilities for the extraction of oil and gas in Kesanapalli village located about 36 km from Amalapuram and 90 km from Rajahmundry in Andhra Pradesh.
8The effluent is generated from the Kesanapalli facility is treated in the ETPs.
8ONGC has also proposed a diffuser at the seaward end with adequate number of diffuser ports to achieve maximum dilution.
8For reference purpose website carries here the hydro dynamic model report as also the geophysical surveys associated with the project.
Click on the Reports for more. Details
