Gail revises price of gas from Ravva field

MUMBAI: Gas utility Gail India Ltd on Friday said it has revised the price of gas supply from Ravva field to 3.5 dollar per million british thermal unit.

Gail and Ravva Joint Venture have agreed to a price revision for the gas supply from Ravva field in the KG Basin as provided in the Gas Supply Contract (GSC), the company informed the Bombay Stock Exchange.

The revision was formally executed by means of a side letter to GSC on July 18, this year between Gail and Ravva Consortium partners -- ONGC, Cairn Energy (Operator), Videocon Petroleum Ltd and Ravva Oil (Singapore) Pty Ltd, it added.

The GSC was executed in 1997 and has a validity period till 2019. It envisages gas supply of about 1.0 million british thermal unit, being predominantly supplied to power and fertilizer companies in Andhra Pradesh under administered pricing regime (APM).

The shares of the company closed at Rs 234.65, down 0.80 per cent at the BSE.