Petronet LNG net dips 17% to Rs 255 crore

Written by fe Bureau | New Delhi | Updated: Jul 31 2013, 20:05pm hrs
Petronet LNG on Tuesday reported a 17% drop in its June quarter net profit on account of lower margins. April-June quarter net profit at R225 crore was lower than R271 crore net profit in the same period a year ago, the company said.

Profits has been lower largely because of lower margins and also because our plant consumed more gas for operations, Petronet LNG MD and CEO AK Balyan said.

The increase in turnover during this quarter is mainly on account of increased price of LNG under the long term contract, he said. Petronets Dahej LNG import and regassification terminal processed 129.5 trillion British thermal units of gas in Q1 against a volume of 127.17 tBtus in the corresponding quarter. Petronet director (Finance) R K Garg said the company has tied up a R2,250 crore term-loan from Indian lenders led by State Bank of India and HDFC.

"We have got very attractive rate of SBI base rate plus 25 basis points. At current rate, this comes to 9.95%," he said.

Meanwhile, Petronet LNG is in talks to offer up to 18% stake in its Gangavaram terminal project to a strategic partner, Balyan said on Tuesday. The company aims to build a 5 million tonne a year LNG terminal at Gangavaram in the east coast by 2016.

Petronet has 74% stake in the terminal while Gangavaram port has 8% stake. We are looking at largely a producer or supplier of gas. Several companies have got in touch, Balyan said.