you are here: HomeNewsIndia

GAIL in talks with US, Russian LNG suppliers to secure relaxations in price, quantity: Report

GAIL is also in discussion with suppliers to reschedule and postpone some of the cargoes to minimise losses.

July 30, 2020 / 01:21 PM IST

Public sector gas transmission major, GAIL India, is in talks with the United States and Russian LNG (liquefied natural gas) suppliers to avail relaxation in long term contracted gas prices and volumes to minimise losses incurred due to a steep decline in consumption after COVID-19-induced lockdown.

"We are not terminating any of the contracts. However, we are taking up the matter with the suppliers to secure relaxations in prices and in the supply of LNG as per our requirement and consumption pattern," sources told Financial Express.

Moneycontrol could not independently verify the report.

GAIL's gas supply to the fertiliser sector has increased to 43 million metric standard cubic meters per day (mmscmd) from the average of 11-12 in April.

Track this LIVE blog for latest updates on the coronavirus pandemic

Close

COVID-19 Vaccine

Frequently Asked Questions

View more
How does a vaccine work?

A vaccine works by mimicking a natural infection. A vaccine not only induces immune response to protect people from any future COVID-19 infection, but also helps quickly build herd immunity to put an end to the pandemic. Herd immunity occurs when a sufficient percentage of a population becomes immune to a disease, making the spread of disease from person to person unlikely. The good news is that SARS-CoV-2 virus has been fairly stable, which increases the viability of a vaccine.

How many types of vaccines are there?

There are broadly four types of vaccine — one, a vaccine based on the whole virus (this could be either inactivated, or an attenuated [weakened] virus vaccine); two, a non-replicating viral vector vaccine that uses a benign virus as vector that carries the antigen of SARS-CoV; three, nucleic-acid vaccines that have genetic material like DNA and RNA of antigens like spike protein given to a person, helping human cells decode genetic material and produce the vaccine; and four, protein subunit vaccine wherein the recombinant proteins of SARS-COV-2 along with an adjuvant (booster) is given as a vaccine.

What does it take to develop a vaccine of this kind?

Vaccine development is a long, complex process. Unlike drugs that are given to people with a diseased, vaccines are given to healthy people and also vulnerable sections such as children, pregnant women and the elderly. So rigorous tests are compulsory. History says that the fastest time it took to develop a vaccine is five years, but it usually takes double or sometimes triple that time.

View more
Show

"Power sector has recovered, but the gas distribution sector is still down, except the piped natural gas segment that supplies to residential areas," sources added.

GAIL is also in discussion with suppliers to reschedule and postpone some of the cargoes to minimise their losses. "We are seeking to secure a relaxation in pricing and quantity as domestic consumption and spot prices have dropped substantially," sources said.

The company plans to get around 90 cargoes from the US in FY21. This accounts for 36 percent of the total 250 cargoes or 14 million metric tonnes per annum (mmtpa) to be sourced during FY21.

Click here for Moneycontrol's full coverage of the COVID-19 outbreak
Moneycontrol News
first published: Jul 30, 2020 01:21 pm

stay updated

Get Daily News on your Browser
Sections