On the Qatar contract, is there any change in the transfer of ownership from say Dahej to directly at Qatar to reduce some costs? And if so, is there any cost savings for us and the industry?
I mean, I'm asking for the existing contract itself, sir
Questions across 8 calls
Vishnu Kumar
Avendus Spark
GAIL (India) Limited
Indraprastha Gas Limited
So just wanted to understand the incremental cost for the -- of delivery for new GA, let's say, the incremental compression from other area or the transportation cost, generally, what is the extra delivery cost? And is there any increase or decrease over the last 1, 2 years in this?
Got it. So here, within this, how much would be, let's say, the compression bit and what you be position, sir?
Thanks for your time again, sir. Sir, I wanted to understand on the 3% growth rate again. I mean, because 65% of the growth is you said, a 3%, 3% and all of them are much higher. So it appears that even if we adjust for the decimal that you're saying that Delhi growth is a bit slow. Maybe even later during the call also we can explain that will be helpful, sir. That is one, sir. And second, the EBITDA per CM, I mean, in terms of ranking, which areas would be higher and lower? And especially because -- my question is because more specifically because the new GAs, the diesel is to CNG or the petrol is to C NG prices, delta is very low. How are we able to kind of get the volumes in these markets because significant investments are going? How should we approach in these markets where we'll be cross-subsidizing some part of profits here? And that would mean incrementally as we focus there and our volume continues to rise up there. Will there be a contraction in EBITDA ma rgin? If you could help us understand on this side. Sanjay kumar: Yes. So if you talk about EBITDA levels, so the newer GA's which we have, they are not making money. If you want to ask that question, that is an affirmative answer to that. All the new GA's are not making profits. We are basically building the business there and we do not expect it that up front it will be profitable. The volumes are quite low presently and we expect that once the volumes pick up, it will turn positive because the fixed costs are already there. And once the volume picks up, the EBITDA levels will go up. So that is, I cannot specifically tell you about which geographical areas we are not making. But as a general principle, during the business development phase, we are cross- subsidizing it from the other geographical areas.
Okay. So, more importantly, the price difference, would it mean that we will have to operate? Sanjay kumar: I think Delhi is around 45%, if we talk about total efficiency and price benefit both, Delhi is around 45% cheaper than petrol in terms of running cost. In other GA's, that percentage probably is around 25% to 30%. Different GA's have differe nt numbers. But I think that is also quite a good saving which should drive the CNG growth. Once we have already ramped up our infrastructure and we are in a position that the average cost goes down, probably we will look at maybe increasing that price difference further.
Bharat Petroleum Corporation Limited
Sir, a couple of months ago, we had a lot of articles saying that the Russian cr ude could not, I mean, in the High Seas, a lot of ships were docking and could not enter the Indian shores. Any particular reason why we were not able to take it and is that problem resolved?
Is that something to do with payment related problems or any other additional shipping related sanctions that are coming up?
Good evening and thanks for the time. Sir. I just wanted to understand the opex cost per barrel across the three refineries. This could help us understand that?
So, this -- the pipeline related income and expenditure, it will go to the marketing side, is it? It's not part of the GRM?
Coromandel International Limited
I'm following up on Arjun's question only, this guideline seems to actually lead an efficient company or a lower debt company or a cash -rich company, a little bit more on the lower end where it's inefficient, probably a company having higher debt to probably end up making at least, directionally, there is a possibility there. So will this guideline go with multiple iterations with the government before you finalize any conversations will further happen on this side? And that is one. And secondly, you did mention that there is not much of a change , this is the previous policy and that was already enforced on this one. And why would the government come up at this point in time on this side? Why did they come specifically with further guideline process?
Got it. Ma'am, earlier you were highlighting that if at all, let's say, at some point in time, we would be probably thinking about capacity expansion, the natural way would be to get all the backward integration done, get clarity on policy. And I mean, at least that's what we thought. So at least now from that side, your next phos acid announcement and some policy clarity, we probably have at least the base margins that we can earn. Does this mean that over the next, we should expect some kind of a capacity enhancement announcement or anything that you could help us understand on this side?
Mahanagar Gas Limited
Just following up on one of the earlier participant's questions, if the petrol price cut happens, you mentioned that at some point, we'll have a look at volume growth and decide. So , what we see currently is there is a INR 30 price gap between petrol and CNG. What level of price difference do you think can have an impact on our volumes? And the second question would be the medium or longer term at what level of per unit EBITDA where we would be comfortable rather to take a price cut? And how much would probably we'd be thinking as a medium-term target?
Okay. And to put it differently, sir, at what level of additions, let's say, if it comes below a certain number, will we go for additional price cut rather at what growth -- let's say, it's 2% growth only on CNG, then we'll take for an additional cut or -- I mean, any markers that we have to track so that we get some sense that, okay, this is a point where you will probably take us the additional cut. That is what we are trying to understand.
UPL Limited
The competitors FMC and Corteva have mentioned that Brazil market specifically seems to be a bit of a challenge for the fourth quarter and highlighted certain issues. Now , where are we seeing the market specifically on Brazil because for a second-half Brazil is a very key market? I mean other companies are highlighting , that one of the key reasons they are downgrading numbers apart from the inventory destocking is their very negative view on Brazil. So, are we differing, or we still think there is an opportunity there ? Just to understand what are we differently seeing there?
If I look at your absolute inventory over the last two , three quarters, we have been consistently going up versus the other global companies which have either been flat or lower. Is it partly because we have opportunistically bought a lot of stock and when we place the product in the market, we will probably be cheaper versus our competition, i s that the reason why our inventories are relatively higher and that's where some of the second -half confidence comes ? because our pricing may be lower than the others. If you could help us understand on this because our inventory positioning seems to be slightly different versus the others