Gujarat State Petronet (NSE: GSPL) – New LNG terminals will aid growth
Gujarat State Petronet is primarily engaged in transmission of natural gas through pipeline on an open access basis from supply points to demand centers. Further, it is also engaged in generation of electricity through Windmills.
Higher-than-expected volume offset the lower implied transmission tariff in 3QFY20. GSPL reported in-line EBITDA of Rs.380 Cr.
Consumption from the refinery/petrochem segment continued to be the highest at 32%. Consumption by the City Gas Distribution (CGD) segment remained strong at 10.7mmscmd.
Apart from the recently commissioned Mundra LNG terminal, Swan Energy and HPCL-Shapoorji are also expected to complete their LNG terminals in the next 2-3 years. The company is envisaging on enhancing its capacity in lieu of the upcoming LNG terminals in Gujarat.
The stock trades at 12.9x EBITDA.' -