(EnergyAsia, June 18 2013, Tuesday) — UK gas giant BG Group said it has completed the sale of its 65.12% stake in India’s largest private natural gas distributor to a firm owned by the Gujarat state government for 24.6 billion rupees. (US$1=58 rupees).
The deal is a follow through of an agreement that BG announced it had signed with Gujarat State Petroleum Corporation (GSPC) last October for the sale of its stake in Gujarat Gas Co Ltd (GGCL). BG said the sale was part of a broader rationalisation programme to focus its core business in the upstream sector including the production of liquefied natural gas.
“The transaction was completed after BG Group and GSPC received the necessary approvals from the Reserve Bank of India and the Competition Commission of India,” said the London-based company.
In March, BG announced it had signed an agreement to supply up to 2.5 million tonnes of LNG per year to Gujarat State Petroleum Corporation Limited (GSPC), starting with 1.25 million t/y from 2015 for up to 20 years.