RasGas, Petronet Revise LNG Contract to Lower Indian Prices
- $1.8 billion penalty waived for Petronet buying lower volumes
- Petronet to buy additional 1 million tons a year from RasGas
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Qatar’s RasGas Co. agreed to cut the price of gas it supplies to Petronet LNG Ltd. by almost half from Friday under an existing 25-year contract with India’s biggest gas importer.
Under the revised terms, Petronet will pay RasGas $6 to $7 per million British thermal units, compared with about $13 earlier, India’s Oil Minister Dharmendra Pradhan told reporters in New Delhi on Thursday. A penalty for taking less-than-contracted volumes this year amounting to about 120 billion rupees ($1.8 billion) on Petronet has been waived by the Qatari company, he said.