Summary
The government may have raised the price of domestic natural gas price by 62 per cent from the existing $1.79 per million British thermal units (mmbtu) to $2.9 per mmbtu but gas production will remain a loss-making proposition for most fields and there will be limited benefit for producing companies, according to ratings agency ICRA.
"Increase in gas prices provides limited relief to Indian upstream producers. Even at these prices, gas production remains a loss-making proposition for most fields for the Indian upstream producers notwithstanding some decline in oil field services or equipment costs," ICRA said in a report.
This apart,......