Gas Sales Price Increase

RNS Number : 3920W

Indus Gas Limited

18 August 2022

 

Indus Gas Limited

("Indus" or the "Company")

Gas Sales Price Increase

Indus is pleased to announce, that for its existing gas sales purchase agreement ("GSPA"), a gas price increase in respect of sales from RJ-ON/6 Block has been agreed with the gas buyer, GAIL (India) Limited ("GAIL").

The gas price for RJ-ON/6 Block effective 1 April 2022 will be as per the Domestic Gas Price on Gross Calorific Value basis (GCV) as notified by Petroleum Planning & Analysis Cell of the Government of India. The floor price of gas sales will continue to be US$4.5146 per MMBTU on GCV which is equivalent to the existing price realization of US$5 per MMBTU on a Net Calorific Value basis up to 31 March 2022. The GSPA otherwise remains unchanged.

This gas price revision has resulted in the gas price being revised to US$6.1 per MMBTU on Gross Calorific Value basis from 1 April 2022 to 30 September 2022 resulting in a price increase (as compared to the floor price) of about 35%. The Board is very pleased to have agreed this higher gas price with GAIL.

For further information please contact:

Indus Gas Limited

Jonathan Keeling   [phone]

Strand Hanson Limited (Nominated and Financial Adviser)

Ritchie Balmer, Rory Murphy   [phone]

Arden Partners plc (Broker)

Equity Sales: James Reed-Daunter   [phone]

 

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