Reliance and Cairn Energy interested in PY-1 gasfield

Vol 3, PW 22 (24 Nov 99) News in Brief
     

Reliance Gas and Cairn Energy have emerged as two potential buyers of a stake in the PY-1 gasfield off the coast of Madras (http://www.eec.com.

au/projects.htm). A source in Madras tells Petrowatch he has indications that Reliance and Cairn have responded to indications that one or more of the PY-1 consortium partners wishes to sell its stake.

No further details are available. It has been reported that US-based Mosbacher and the Perth-based Energy Equity Corporation, both of who have a 35% stake in PY-1, may consider selling their stakes.

A correspondent reports that the value of any stake in PY-1 will be greatly enhanced when the gas supply contract is finalised with the backers of a 330-MW power project at Pillaiperumalnallur in Cuddalore, in which US-based PSEG is the main promoter. Talks are believed to be at an advanced stage.