Gujarat Gas rallies on PNGRB nod for gas distribution in Gujarat

Gujarat Gas has rallied 10% to Rs 575 on the BSE in early morning trade after the company announced

that the Petroleum and Natural Gas Regulatory Board (PNGRB) granted permission to develop city gas

distribution network (CGD) in Ahmedabad, Gujarat.

“PNGRB has issued letter dated 22th June 2016 for grant of authorization to Gujarat Gas to lay, build,

operate, or expand city or local natural gas distribution network (CGD) for geographical area of

Ahmedabad district (excluding the already authorized) in the state of Gujarat,” Gujarat Gas said in a

release.

The company has accepted the authorisation vide a confirmation letter to PNGRB on June 27, it added.

As per the provision of the PNGRB, Gujarat Gas has granted 300 months of infrastructure exclusivity

valid up to June 21, 2041 and 60 months of marketing exclusivity valid up to June 21, 2021 for the CGD

network. The authorisation area for proposed CGD network will cover a geographical area of 5760.41

square kilometers, the company said.

NGS INDIA