Vedanta seeks bids for Rajasthan Natgas

Vedanta has sought bids for natural gas from Rajasthan block at a floor price of $9.57 per mmBtu. The company plans to sell 0.70 mmscmd of gas in the first tranche and 0.30 mmscmd in the second tranche. The first tranche of gas will be supplied from April 1 to 15 and second tranche will be available from April 16 to May 31. The auction will be held on March 17 for tranche 1 and on March 27 for tranche 2.

The floor price for the auction has been set at one dollar above the domestic formula gas price of $8.57 per mmBtu. The sales price will be the lower of Platts LNG West India marker or 15% of the average Brent price plus a premium that bidders would quote.