Petronet being probed over gas purchase contracts

State-run Petronet LNG is being investigated for alleged irregularities in gas purchase contracts, Petroleum Minister Dharmendra Pradhan told parliament on Monday.

"Complaints regarding alleged irregularities in respect of long term liquefied natural gas (LNG) contracts executed by Petronet LNG Ltd (PLL) for import of 7.5 mtpa (million tonnes per annum) with Rasgas, Qatar and 1.44 mtpa with Exxon Mobil Gorgon Project in Australia have been received," the minister told the Lok Sabha in a written reply.

"A committee was constituted by the government to enquire into the alleged irregularities and findings of the committee are under examination in consultation with the Central Vigilance Commission," he added.

Petronet has set up the country's first LNG terminal at Dahej in Gujarat, and another terminal at Kochi in Kerala with a total capacity of 15 mtpa.

State-run firms, GAIL India, Bharat Petroleum Indian Oil and Oil and Natural Gas Corp, each hold 12.5 percent stake in Petronet, while GDF Suez has a 10 percent stake. The balance 40 percent is held by investors and foreign portfolio investors.

Petronet on Friday posted a net profit of Rs.882.5 crore for fiscal 2014-15.