there are several gas prices in India, not all gas sells at the price quoted. there is gas that comes from a gas field and gas that comes from an oil field. India has different pricing strategies for each. Ambani has a huge offshore gas field on the east coast. he is directly affected by this change in gas price. Cambay is currently deemed by the Indian Government to be an oil field as it has been developed for oil by GSPC for about 15 years and ONGC for 20 years before that. the gas is non specification, which means it cannot go to the grid system unless treated. it can go to a local market if there are industries who are prepared to take the gas and the risks associated with any inerts that may be contained within the gas. Australia would never allow this, but India is a different regulation. so, getting the facts right is important. knowing that the revenue is not affected by the change in gas price is relevant. knowing that there is a market for non specification gas, albeit at a price driven by the market and not the government, is relevant. I make no apology for telling the facts, its important that we don't believe the impossible. this share has great potential, but we will have to wait until the results are in. I remember an announcement about 6 - 9 months ago regarding a gas sales contract, but to date there doesn't appear to be the revenue. why not? DYOR.
OEX Price at posting:
5.5¢ Sentiment: Hold Disclosure: Held
