The government appears set to approve Reliance Industries’ pricing formula for the gas it plans to produce from July next year, with minor changes.
The Empowered Group of Ministers (eGoM), which had its third meeting today morning was near unanimous on the need to honour the government’s commitment allowing marketing and price freedom to investors investing in oil and gas hunt, official sources said.
Sources said, the government was likely to tweak the Reliance formula so that the price of gas is calculated in dollar alone, a move that will bring down USD 4.33 per million British thermal unit price proposed by Reliance to about USD 4.2-4.22 per mBtu.
While no Minister attending the meeting commented on the
deliberation, Petroleum Minister Murli Deora only said, the
decision would be announced by External Affairs Minister
Pranab Mukherjee.
Sources said, the eGoM left the final decision on Pranab Mukherjee who will go on a five-day foreign visit on Thursday
afternoon.
Fertilizer Minister Ram Vilash Paswan, sources said, wanted a guarantee of gas supplies to fertilizer and steel plants.