TopNews

Agressive capex plan of ~Rs30bn by FY15 and ability to pass price hike

Increase in CNG stations from 200 to 300 and PNG customers from 182K to 300K by FY12

Presence in high growth cities of Gujarat and ability to pass price hike

Debt free balance sheet and CFO of Rs1.9bn/year bode for future expansion

Agressive capex plan of ~Rs18bn by FY13, foray outside Gujarat for cross-country pipelines

Agressive capex plan of ~Rs375bn by FY15

Strong excitement in the Indian Natural Gas sector is palpable now. A number of positive enablers promise to change the dynamics of the sector. And even as India prepares to address the challenges of change and growth, natural gas, the clean alternative fuel, has a crucial role to play securing the country's growing power needs:

No commodity risk - Back to Back mirror agreement

PLL is a bulk supplier of imported LNG which is re-gasified and delivered at the GAIL’s HVJ pipeline. PLL enters into back-to-back long term purchase and sales agreements. The sale of LNG to be imported by the company is fully tied up through Gas Sales and Purchase Agreement (GSPA) on a take or pay basis. The price of natural gas (NG) would be actual cost of LNG at the import exchange rate, taxes and duties on the import of LNG, shipping & insurance charges and the Regasification rate.

No currency risk for long term contracts