Natural gas prices in India likely to be cut by steep 25 per cent from April 2020

Natural gas prices in India are likely to be cut by a steep 25 per cent beginning April, in line with the slump in global rates, sources said.

The price of most of the natural gas produced by state-owned ONGC and Oil India Ltd, which account for the bulk of India’s existing gas output, is likely to be cut to around $ 2.5 per million British thermal unit for the six-month period beginning April 1, from $ 3.23 as of now.

This will be the second reduction in six months and will reduce rates to the lowest in two-and-half-years.

Sources said the price of gas produced from difficult fields too is likely to be cut to $ 5.50 from $ 8.43 per mmBtu now.