Oil and Natural Gas Corporation (ONGC) has relaunched a tender to sell gas from its KG fields at a higher price of USD 15 per mmBtu as it looks to capitalise on a global surge in energy prices.
The firm sought bids for the sale of 0.75 million standard cubic meters per day of gas for one year from the KG-DWN-98/2 (KG-D5) fields in the Bay of Bengal, according to the tender document.
The firm asked users to quote a premium they are willing to pay over and above the reserve gas price of 14 per cent of Brent crude oil price plus USD 1 per million British thermal unit.
The reserve price at the current ruling Brent oil price of USD 101 per barrel comes to more than USD 15 per mmBtu.
