Higher spot LNG prices to impact India's city gas distributors - JM Financial

Indraprastha Gas

30/11/2023 06:38

** Sustained rise in Asian spot LNG prices during winter
will pose concerns for India's city gas distributors (CGD), JM
Financial says
    ** Gujarat Gas  GGAS.NS  could be most impacted given
20%-30% dependency on spot LNG - brokerage
    ** Even though spot LNG prices have normalised in CY23 from
record high levels, they are still relatively high at
$16.4/mmbtu, analysts say
    ** Brokerage says CGD sector total gas demand rising
gradually, driven by increasing domestic gas consumption and
higher allocation of gas
    ** Says LNG demand still strong despite recent rise in spot
LNG prices
    ** Gujarat Gas down 0.1%, Adani Total Gas  ADAG.NS  down
2.9%, Mahanagar Gas  MGAS.NS  up 0.3%, Indraprastha Gas IGAS.NS 
down 0.6% on Thursday
    
    

 (Reporting by Sethuraman NR in Bengaluru)
 ((Sethuraman.NR@thomsonreuters.com; (+91 9945291420); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))