Mahanagar Gas Limited (MGL) announced today that its allocation of domestic gas at APM price will increase by 26 per cent effective January 16, 2025, according to a regulatory filing with stock exchanges. The company’s CNG allocation will rise from 37 per cent to 51 per cent, following a communication from GAIL (India) Limited, the country’s nodal agency for domestic gas allocation.
The shares of Mahanagar Gas Limited (MGL) were trading at ₹1,306.75 up by ₹36.10 or 2.84 per cent on the NSE today at 12.38 pm.
The Mumbai-based city gas distributor expects this substantial increase in allocation to positively impact its profitability. The announcement comes at a time when city gas distribution companies have been seeking higher domestic gas allocations to maintain operational stability.
This development represents a significant shift in gas allocation for MGL, which provides compressed natural gas (CNG) for vehicles and piped natural gas (PNG) for domestic, commercial, and industrial use in its operational areas.
