Reliance AGM, Reliance Industries Mukesh Ambani ready to supply gas to Anil’s ADAG
Reliance AGM Mumbai, Indian shares grown highest in few months, with Reliance Industries (RELI.BO) rallying as much as 1.7 percent ahead of the energy major’s annual general meeting of shareholders. Reliance Industries Mukesh Ambani ready to supply gas to Anil’s ADAG.
Reliance Industries, India’s most valuable company, today announced multi-billion dollar investment plans in the power sector and said that it will supply natural gas to Anil Ambani Group’s power plants as and when they are ready.
RIL Chairman and managing director Mukesh Ambani said the company was ready for a “big surge forward” and will use its strong finances for “inorganic” growth and new ventures including expansion of capacity to produce polyester.
Addressing company shareholders exactly five years to the day when he and his brother Anil split the Reliance empire created by their father Dhirubhai Ambani, Mukesh signalled his desire to end the feud with his younger sibling Anil.
“With legal dispute (over supply and pricing of natural gas from RIL’s Krishna Godavari basin fields to Anil Ambani Group’s power plants) behind us, we look forward to a harmonious and constructive relationship with Anil Dhirubhai Ambani Group (ADAG),” he said at the meeting, which contrary to speculation was not attended by Anil Ambani.
RIL, he said, was ready to supply gas to ADAG’s power plants including the proposed 7,800 MW at Dadri near Delhi, as and when they are ready to receive the fuel. The supplies would, however, be subject to the government allocating gas to ADAG plants like it has done for all of the over 60 million cubic meters per day of output from KG-D6 fields.
As and when the power plants of ADAG are ready to receive gas, we would commence supplies to them subject to government granting allocation.
“We are ready to bring into full play our investment mobilisation capabilities, as well as our superior project execution capabilities, into a sector that is crying out for transformational mega initiatives,” he said.
While Ambani did not put a figure to the investment, sources in know said RIL may be planning USD 10 billion spending, including on bidding for the government’s planned ultra mega power projects in Orissa and Chhattisgarh.