Related Articles
Forward article link
Share PDF with colleagues

India cuts gas prices by 18%

The well-head gas price has dropped to $3.82/m British thermal units (Btu) which could discourage investment in the fields

India has cut the well-head gas price by 18% to $3.82/m British thermal units (Btu), squeezing producers such as Oil & Natural Gas Corporation (ONGC), Oil India and Reliance Industries. The move may end up discouraging investments in new fields, which would eventually lead to higher dependence on costlier imports as lower prices boost demand, warned ratings agency Moody’s. Low prices benefit power producers and fertilizer makers, but may deter exploration companies from investing and increasing output, essential for Prime Minister Narendra Modi’s target of cutting India’s dependence on imported energy to 50% by 2030 from 80% now. India imports 36% of its gas needs. But "imports will con

Also in this section
The West endorses Saudi crown prince
20 March 2018
MbS’s first visits to the UK and US as crown prince show acceptance there that he’ll be the next Saudi king. But not all Saudis are happy
Saudi options in Yemen exhausted
20 March 2018
The country's disintegration is matched by growing difficulties in envisioning a peace deal
Short shrift for Gazprom’s portfolio investors
19 March 2018
The world’s largest gas producer is once more likely to ignore calls to increase dividends