GSPC aims to double turnover in three years

State-run Gujarat State Petroleum Corporation is aiming to double its turnover to Rs 20,000 crore in the next three years. The company is banking on revenues that will flow in once the commercial production of KG-8 Deendayal West field in Krishna-Godavari Basin starts in 2011.

The Directorate General of Hydrocarbons (DGH) last month approved GSPC's field development plan for 2 trillion cubic feet (tcf).

"For the current fiscal, we are expecting to garner Rs 10,000 crore which we aim to double in next three years. In a period of five years, the turnover is targeted to grow five times," said D J Pandian, Managing Director of GSPC.

On October 17, Pandian completed eight years as MD of GSPC, becoming one of the few IAS officials in the country to have completed such a long stint on a single government posting.

Besides KG development, GSPC is also planning to come up with a public offer in the range of Rs 3,000-5,000 crore before the end of this fiscal.

From a turnover of Rs 150 crore and one asset in Hazira in 2001, GSPC has become a diversified energy company with interests in exploration, gas distribution and retailing, power, LNG, education taking its current turnover to Rs 7,000 crore.

GSPC has roped in Suzlon for setting up a 50 MW wind farm project in Gujarat in the first phase. GSPC is aiming to produce about 200 MW from wind in the next two years or so.

Meanwhile, GSPC has tied up with the Adani group for setting up an LNG terminal at Mundra with an initial capacity of 6.5 million metric tonnes per annum (mmtpa) and it plans to scale up the capacity to 20 mmtpa in a phased manner. The overall project cost is estimated to be Rs 8,000 crore.

GSPC holds about 50 per cent stake in the LNG terminal project, while the Adani Group has about 25 per cent.

Under a newly formed entity GSPC LNG, the corporation is planning to import one liquefied natural gas (LNG) cargo every month as part of its strategy to directly enter into the LNG trading business.