The Telegraph
Tuesday , May 27 , 2014
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GAIL profit rises 57%

New Delhi, May 26: Gas transporter GAIL India Ltd has registered a 57 per cent rise in net profit at Rs 972 crore in the fourth quarter of 2013-14 on the back of better petrochemical and LPG prices and a drop in subsidy outgo.

GAIL had reported a net profit of Rs 618 crore in the January-March quarter a year ago, B.C. Tripathi, GAIL chairman and managing director, told reporters here.

The company realised a Rs 96,000-per-tonne price for the petrochemicals it produces against Rs 82,000 a tonne in the previous fiscal, he said.

Price realisation on LPG also increased 8 per cent to Rs 56,000 a tonne.

Further, the amount paid by the company for subsidising diesel and cooking gas came down to Rs 500 crore in the fourth quarter of 2013-14 from Rs 567 crore in the corresponding period in the previous financial year.

“During the quarter, gas transmission volumes were down and so was gas marketing because of a fall in production at the Panna/Mukta and Tapti field (in western offshore) and east coast (KG-D6) field,” Tripathi said.

Natural gas sale fell to 76.26 million standard cubic meters per day from 80.13 mmscmd in the fourth quarter of 2012-13, while fuel transportation volumes fell to 94.66 mmscmd from 99.49 mmscmd.

For the full fiscal, net profit was up 9 per cent at Rs 4,375 crore, while turnover rose 21 per cent to Rs 57,245 crore.

GAIL contributed Rs 1,900 crore during the year towards fuel subsidy, down from Rs 2,600 crore a year ago.

Meanwhile, global energy major Royal Dutch Shell is in talks with the Andhra Pradesh government to buy up to 24 per cent stake in the planned Kakinada liquefied natural gas project on the east coast, Tripathi said.