IOCL secures 1.45 mscmd gas in latest auction from KG-DWN-98/3 block

As per reports, Indian Oil Corporation Limited (IOCL) has secured 1.45 million standard cubic meters per day (mscmd) gas out of the total 4 mscmd natural gas offered by the consortium of Reliance Industries Limited and BP Exploration (Alpha) Limited in its latest auction from KG-DWN-98/3 (KG D6) block. IOCL has been the top bidder for KG D6 gas since the last two auctions and has sought gas for fertilisers plants. Besides, Gujarat Gas Limited and Torrent Gas Private Limited has won 0.5 mscmd and 0.45 mscmd gas for supply to automobiles and households after its converting into compressed natural gas (CNG) whereas Adani Total Gas Limited (ATGL), Indian Oil Adani Gas Private Limited, Indraprastha Gas Limited and Mahanagar Gas Limited has received 0.29 mscmd, 0.17 mscmd, 0.30 mscmd and 0.30 mscmd gas, respectively. A total of 38 bidders from fertilisers, city gas distribution (CGD), refineries and aggregators sectors have successfully won the auction. The bidders were asked to quote a premium ‘v’ over and above the 12.67 per cent of the Brent crude oil price with starting price being kept at USD1.08 per million British thermal unit (mBtu). The gas price comes up at USD12.11 per mBtu at the prevailing Brent crude oil price of USD80 per barrel. The gas will be available from the onshore terminal at Gadimoga, Andhra Pradesh.