 "Here's why RIL tumbled to a 33-month low in a jiffy")
Reliance Industries is trading at levels last seen in March 2009. The stock has fallen nearly 3 percent and has touched a low of Rs 709.20 after reports said that the company has stalled its coal bed methane project.
[caption id=“attachment_161032” align=“alignleft” width=“380” caption=“Reuters”]  [/caption]
Reliance Industries has sought Oil Secretary G C Chaturvedi’s help to get stalled approvals for development of additional gas fields and price approval for sale of gas produced from coal seams. (CBM). If the approvals don’t come, the company would lose the four-month weather window and would then be forced to wait for
one full year to begin work.
Earlier, the government had asked Reliance to arrive at a price for its coal bed methane produced at its Sohagpur fields, after taking into account views from priority sector consumer pool. The company, however argued that consumers will naturally want a lower price for gas, which according to RIL is against the provisions of the Coal Bed Methan contract. It further states that the maximum price benefit should be to all parties in the contract, which in this case is the government and Reliance.
Reliance is asking for a price that is not only higher than prevailing natural gas prices but also higher than what other CBM players charge. According to an article in Outlook, Great Eastern Energy is selling CBM from its block at $6.79 per mbtu (million british thermal unit). Essar Oil too is planning to sell its gas at the same price, while natural gas in the country is sold between $4 and $6. Reliance on the other hand wants a price of $13 per btu.
As in the case of natural gas, CBM operators have been asked to discover the price by inviting bids from priority sector customers following an ‘arm’s length sale’ principle. Such sales are made in the open market and the final price is sent to the ministry for approval.
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
](https://images.firstpost.com/wp-content/uploads/2011/12/RILGAS11.jpg){kind=link}