In India Essar Sells CBM at $9.16-11.63, GEECL at $8.46-22.01

Essar Oil is selling coal bed methane gas it produces in the price range of $9.16 and $11.63 while Great Eastern Energy Corp Ltd (GEECL) sells the same at $8.46 to $22.01, Indian Parliament was informed on Friday, reports Press Trust of India.

State-owned Oil and Natural Gas Corp (ONGC), charges $5.71 per million British thermal unit.

Minister of State for Petroleum and Natural Gas Panabaaka Lakshmi in a written statement in response to a question in Lok Sabha, lower house of the Parliament, said GEECL sold 75.51 million cubic metres of gas from its Raniganj South CBM block in West Bengal at $8.46 per mmBtu to $22.01 per mmBtu rate in 2012-13.

Essar Oil fetched the aforementioned price for 8.07 mcm of gas from its Raniganj East CBM block while ONGC sold 2.95 mcm gas from its Jharia CBM block, the minster said, adds Press Trust.

"Commercial quantity of CBM gas is being produced in one block, namely, Raniganj South operated by GEECL. Small quantities of incidental gas is being produced in two CBM blocks viz Raniganj East and Jharia by Essar and ONGC respectively," Press Trust quotes her as saying.

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