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Gujarat Gas Company gains on executing fully termed GSTC with GAIL (India)

19 Apr 2012 Evaluate

Gujarat Gas Company is currently trading at Rs. 331.45, up by 5.70 points or 1.75% from its previous closing of Rs. 325.75 on the BSE.

The scrip opened at Rs. 329.55 and has touched a high and low of Rs. 333.90 and Rs. 329.00 respectively. So far 15,000 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 2 has touched a 52 week high of Rs. 463.00 on 02-Sep-2011 and a 52 week low of Rs. 270.00 on 13-Apr-2012.

Last one week high and low of the scrip stood at Rs. 338.00 and Rs. 270.00 respectively. The current market cap of the company is Rs. 4,250.00 crore.

The promoters holding in the company stood at 65.12% while Institutions and Non-Institutions held 23.85% and 11.02% respectively.

Gujarat Gas Company (GGCL) has executed a fully termed gas sales and transportation contract (GSTC) with GAIL (India) (GAIL) for the purchase of gas from the Panna-Mukta and Tapti (PMT) fields. The company has executed GSTC on April 18, 2012. The GSTC supersedes the previously executed term sheet dated March 31, 2008 pursuant to which PMT gas has been sold to GGCL to date.

The GSTC will now constitute the entire agreement between the parties in respect of the sale, purchase and transportation of PMT gas up to 2.13 mmscmd depending on the production from the PMT fields.

Pursuant to the directive from the Ministry of Petroleum and Natural Gas, GGCL was allocated up to 2.13 mmscmd of PMT gas to be sold by GAIL.

Gujarat Gas Company, which is engaged in supply of gas to industrial, auto and house-hold consumers in Gujarat, gets nearly 75% of its requirements from the PMT fields through GAIL India.

Peers
Company Name CMP
Petronet LNG 273.05
Bharat Coking Coal 35.75
Linde India 7234.30
Refex Industries 244.75
IRM Energy 220.60
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