HC allows NTPC to amend petition about GSPA rejects RIL's objections

Mumbai, Sep 25 (UNI) The Bombay High Court today allowed state-owned National Thermal Power Corporation (NTPC) to amend its petition regarding the implementation of the Gas Sale Purchase Agreement (GSPA) and at the same time rejected the objections raised by Reliance Industries Limited (RIL) over the same.

Justice R S Mohite today deferred the next hearing to November eight and passed an interim order, allowing NTPC to make the necessary changes in their petition.

RIL had earlier won the contract to supply 13 million standard cubic metres of gas per day at the rate of US dollars 2.97 per million British Thermal Units to NTPC's Kawas and Gandhar projects and had signed a letter of intent in June 2004. RIL was to source gas from its gas field in Krishna-Godavari basin. The contract between the two companies was for a period of 17 years.

RIL, however, today objected to the NTPC's demand for amendment, saying the contract for gas supply was never finalised and thus there was no condition applicable for performance of the same.

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