RIL-NTPC case: HC to decide on amendment plea after two weeks
As per the contract, RIL is supposed to supply 12 MMSCMD of gas to NTPC at $2.34 per MMBtu for 17 years.
By PTI |
MUMBAI: Bombay High Court on Wednesday said that it would decide whether to allow Reliance Industries Ltd to amend its plea in its suit with NTPC over gas supply contract after two weeks.
Through the amendment, RIL wants to argue that following the government's policy on pricing and allocation of KG basin gas, RIL-NTPC contract stands "frustrated".
RIL and NTPC negotiated a contract for supply of gas from RIL's KG basin reserves in 2003-2004, but RIL later took the stand that contract was not yet concluded.
NTPC then moved High Court, saying that the contract was sewn up, and RIL should implement it.
As per the contract, RIL is supposed to supply 12 MMSCMD of gas to NTPC at $2.34 per MMBtu for 17 years.
RIL now wants to amend its petition, to take a fresh stand that even if it had a valid contract with NTPC, because of government's latest decisions regarding KG basin gas, the contract would be frustrated.
Central government had filed an affidavit in the High Court in RIL-RNRL case in January this year, stating decisions of Empowered Group Of Ministers on KG gas pricing and allocation.
EGOM had said, in particular, that KG basin gas won't be sold for less than $4.20 per MMBtu. RIL wants to rely on this affidavit in its case with NTPC.
Through the amendment, RIL wants to argue that following the government's policy on pricing and allocation of KG basin gas, RIL-NTPC contract stands "frustrated".
RIL and NTPC negotiated a contract for supply of gas from RIL's KG basin reserves in 2003-2004, but RIL later took the stand that contract was not yet concluded.
NTPC then moved High Court, saying that the contract was sewn up, and RIL should implement it.
As per the contract, RIL is supposed to supply 12 MMSCMD of gas to NTPC at $2.34 per MMBtu for 17 years.
RIL now wants to amend its petition, to take a fresh stand that even if it had a valid contract with NTPC, because of government's latest decisions regarding KG basin gas, the contract would be frustrated.
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Central government had filed an affidavit in the High Court in RIL-RNRL case in January this year, stating decisions of Empowered Group Of Ministers on KG gas pricing and allocation.
EGOM had said, in particular, that KG basin gas won't be sold for less than $4.20 per MMBtu. RIL wants to rely on this affidavit in its case with NTPC.
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