There will be continued pressure on natural gas producers with the government deciding to keep domestic gas price unchanged, at a decade low, for another six months.
A price notification by the Petroleum Planning and Analysis Cell (PPAC), an arm of the Ministry of Petroleum and Natural Gas, said domestically produced natural gas would continue to be sold at $1.79 a million British thermal units (mBtu) from 1 April to 30 September.
According to officials in the know, this price is applicable on more than 90 per cent of domestic natural gas production. In another notification, the maximum sale price allowed to natural gas production from deepwater, ultra deepwater, high pressure and high temperature discoveries was cut from $4.06 per mBtu to $3.62 per mBtu.
