Sunday December 17, 2017
Home Business Mukesh Ambani...

Mukesh Ambani seeks early revision of gas prices, urges govt to resolve ‘legacy issues’


AmbaniReliance Industries on Friday sought an early revision of gas prices and urged the government to quickly resolve what it termed as “legacy issues” over its production-sharing contracts for discovered hydrocarbon.

Pointing out that Reliance Industries was a pioneer in deep-water production of oil and gas, Chairman Mukesh Ambani told shareholders that the company was trying hard to raise output from the challenging areas in the Krishna-Godavari basin, but the returns were below the cost of capital.

“We are constructively engaged with the government to resolve legacy issues in a timely manner with regards to our rights to cost recovery, gas pricing and other issues to create value for the nation and our shareholders.” He also told the 41st annual general meeting at the Birla Matoshree Auditorium here that: “We are hopeful that the government will address this policy issue in the larger interest of attracting investments in the critical E&P business.”

But Ambani also sought to play down the impact of this business on the company’s financials as of now, but said the future had promise. “Reliance had a total earnings before interest and taxes of Rs.31,835 crore last year. The contribution of the E&P business under NELP to this is about Rs.194 crore, which is about 0.6 percent of the company’s EBIT,” he said.

“Though E&P may today be very small in Reliance Industries’ overall portfolio, it has a high latent value creation potential.” In October last year, a meeting of the federal cabinet, presided over by Prime Minister Narendra Modi, had hiked the natural gas prices for normal discoveries $5.61 per unit, from $4.2 per unit, as opposed to the industry demand for at least doubling it to a little over $8 per unit.

But for all new discoveries in ultra-deep-water areas, deep-water areas and the high pressure-high-temperature areas, it said that a premium will be given, but did not spell out further details on how it will be calculated and when it will be awarded.

While shallow-water blocks are at a depth of up to 100-500 metres, deep-water blocks descend to around 1,000 metres. Those at depths beyond 1,500 metres are classified as ultra-deep-water blocks.

These are the areas where Reliance Industries has maximum discoveries. The statement issued after that cabinet meeting said the premium for Reliance Industries for its gas discoveries was under arbitration, and that the company would continue be paid the earlier price of $4.2 per unit.

The arbitration concerns the penalty imposed on the company for allegedly failing to meet output targets from the Reliance-led consortium’s specific offshore blocks. The government wanted the company to make good this shortfall vis-a-vis the terms of contract.

– (IANS)

Next Story

Footpath Shopping is not a Taboo anymore: Find out why!

Due to popularity, the average earning of a vendor, at a busy market place is not less than Rs1,500 to Rs4,000 per day

Footpath Stalls, Pune. Image source:
  • People, irrespective of their economic conditions, shop on footpaths as the items are affordable 
  • Women go for footpath shopping as they can bargain, which is not possible in branded outlets
  • Nowadays, in a busy market, the average earning of a vendor is not less than Rs1,500 to Rs4,000 per day

Patna: There are several myths regarding footpath shopping in India and one of many reasons is that some feel, people belonging to lower strata or economically weaker sections of the society go for it. But with change in mindset, it has now become one of the sought after destinations not only for collegians but also for people from well-to-do families.

People are opting for footpath shopping over malls as they find similar products that match the style or look of the branded items. Not just that, they are affordable too, which makes it popular especially with shopaholics. There is more to this one. What the women love is the feel good thing about bargaining which is a complete no-no in malls.

Follow NewsGram on Facebook:

Women and college goers, especially girls, seem to be the newest crowd at the footpath shops on Boring Road near the Patna market, Maurya Lok complex. They, just as in the past, are able to find affordable items that they want/need without having to pay a hefty price.

Footpath Shops. Wikimedia Images.
Footpath Shops. Wikimedia Images.

One regular shopper, Maira, said, “You find really attractive material while roaming along the streets. Bargaining is the biggest plus point of street merchandise and sometimes it is adventurous also as there is every possibility of paying more even after a hard bargain.”

Follow NewsGram on Twitter: @newsgram1

“Sources in the trade revealed that there was a time when a vendor ended his day with just Rs 200 or Rs300 profit. These days, the average earning of a vendor, at a busy market place, is not less than Rs1,500 to Rs4,000 per day,” said a TOI report.

A footwear vendor, Mohammad Parvez, stated “People, irrespective of their economic conditions, shop on footpaths. Most of the buyers are college girls because they can’t afford costly footwear sold in malls and branded shops.” He now makes somewhere between Rs3,000 and Rs4,000 per day.

An street vendor, Chintu who sells artificial jewellery at Patna Market, also claimed that women from all economic strata come to his shop. “My products are affordable and attract women as they can change their jewellery frequently, which is not possible if they buy gold or platinum jewellery,” said Chintu to TOI, whose daily sale is between Rs1500 and Rs2000.

-This article is compiled by a Staff-writer at NewsGram.


2 responses to “Footpath Shopping is not a Taboo anymore: Find out why!”

  1. Footpath shopping is gaining priority these days. It gives freedom to the buyers of roaming around.

  2. Footpath shopping is not as bad as it looks. In Mumbai, you have Bandra, Colaba street markets which are very famous amongst people and they love to shop on such road markets

Next Story

For the first time in two years, Gold prices have gone up from past Rs 30,000

Analysts believe that risk-taking investors have decided to stick with the solid asset of gold, creating an inflation of prices

Gold bars. Image source: Wikimedia Commons
  • On Thursday, 10 grams cost Rs 30,852
  • The price of gold has shot up 24% since January
  • The lowered price of the dollar does not help

After the demand for Gold has increased in the global market, price of the metal has shot up on Thursday, June 16, at the Multi Commodity Exchange. This is the first time in two years that the price of gold has gone past the Rs 30,000 ($444.84) mark; shooting up from Rs 408. Although this is the first time in two years we are seeing gold prices like this, gold prices have gone up 24% since January, said the report.

Follow NewsGram on Facebook:

People buying gold in India. Image source:
People buying gold in India. Image source:

According to the report, analysts believe that risk-taking investors have decided to stick with the solid asset of gold, creating an inflation of prices. A potential factor for a further rise in prices lies in the members of the European Union. Experts have predicted that if the UK leaves the EU then gold prices could shoot up to Rs 94,213 ($1,400).

Follow NewsGram on Twitter: @newsgram1

Two banks are also responsible for the higher price. Federal Bank Limited and Bank of Japan did not change key policy rates, which did not help to keep the price of gold down. It also is not helpful that the dollar itself has dropped against other currencies.

In Singapore, the price of gold went from $10.80 to $1,302.30 per ounce.

  • prepared by Abigail Andrea, an intern at NewsGram. Twitter @abby_kono


4 responses to “For the first time in two years, Gold prices have gone up from past Rs 30,000”

  1. Gold is one of the biggest and easiest investment one can make. Therefore measures should be taken to make it available for people who want a to and can afford it

  2. Gold is most essential thing in India.And for control this rised price, government have to convince these two banks to help for keep the price of gold down.

  3. With prices this high,I wonder how the common man can afford it. It is somewhat like a custom to wear gold old ornaments in India.I really do hope the prices come down.

  4. Gold jewellery is highly used in wedding seasons. With gold rates touching sky, it becomes almost impossible for common man to afford it.

Next Story

Four gangrape convicts of December 16, get 10-year jail in dacoity case


New Delhi: A court here on Wednesday awarded 10-year jail terms to four people – earlier convicted for the brutal gangrape of December 16, 2012 – in a dacoity case that occurred on the same night. Additional Sessions Judge Reetesh Singh on August 27 convicted the four people for dacoity, kidnapping, wrongfully confining a person, voluntarily causing hurt in committing or attempting to commit robbery, dishonestly receiving stolen property knowing it was obtained by dacoity and common intention under the Indian Penal Code. The four gangrape convicts  Vinay Sharma, Akshay Thakur, Mukesh and Pawan Gupta – were tried for beating up and robbing carpenter Ram Adhar before they raped and brutally assaulted a 23-year-old physiotherapist in a moving bus in Delhi. The court observed that ramifications of the incident with the public at large did not not allow it to show any leniency on account of their age, their economic and social backgrounds of their family situations. The court on Wednesday sentenced them to undergo a rigorous imprisonment of 10 years and slapped a fine of Rs.1.01 lakh each. There was no remorse on the face of convicts even after hearing the sentence awarded by the court.


The court observed that “any person who waits at a bus stop for transportation does so with the assurance that the buses plying on the road have complied with all statutory requirements and the person manning them have been permitted by the appropriate government to ply buses on the road after their antecedents have been verified”. The incident with Ram Adhar is an incident which affects every person who does not afford private transportation, it noted. “Even if a bus on the road is plying with all permits and statutory compliance’s, but that bus by chances happens to be empty, a person will think twice before entering it, lest he may suffer the same fate as Ram Adhar,” the court said. “This incident shakes the confidence of the public that buses plying on the road are a safe and secure mode of transport. “The court said such an act on the part of the convicts has taken away the confidence with which Ram Adhar boarded the said bus. “In future, Ram Adhar will always have the memory of this incident at the back of his mind whenever he needs to use public transport,” the court added.

The court opined that this incident may also compel Ram Adhar to shun public transport altogether and arrange for private transport for himself. All four were sentenced to death in the gang rape case by a trial court, which was confirmed by the Delhi High Court. The matter is now pending in the Supreme Court. Delhi Police, in its charge sheet filed on March 15, 2013, in the robbery case, said bus driver Ram Singh, his brother Mukesh, Vinay, Pawan and Akshay, along with a juvenile, snatched Ram Adhar’s mobile phone and Rs.1,500 after luring him into the bus. Mukesh, Vinay, Pawan and Akshay were put on trial in this case in which charges were framed in July 2013. Charges against Ram Singh abated after his death in Tihar Jail in March 2013.