State-run energy firms NTPC and GAIL swapped their respective shares in Ratnagiri Gas and Power (RGPPL) and Konkan LNG (KLL), effectively increasing GAIL’s shareholding in KLL to 84% while NTPC’s ownership in the 1,967 mega-watt (MW) gas-based power plant rose to 86.5%.
KLL owns the liquefied natural gas (LNG) assets of the Ratnagiri project, including the five million tonne per annum (MTPA) gas import and regasification terminal in Dabhol. According to sources, there was no financial transaction involved in the share swapping.
KLL was formed to own the LNG assets at Ratnagiri after a demerger scheme for RGPPL was approved by the NCLAT in February 2018. The increase in KLL ownership is seen to increase GAIL’s operational flexibility in the gas business, in terms of sourcing, regasification and trading of LNG.
