Confidence Petroleum, a leading private player in the LPG space, is now entering the CNG space. The company has signed an agreement with Gail Gas to set up 100 CNG stations in Bengaluru.

In an interview with CNBC-TV18, Nitin Khara, MD of the company said that they will generate Rs 25 crore per day from CNG stations in 12 months. The company is expected to incur Rs 170 crore capex to set up the CNG stations.

“We are expecting revenue generation from this 100 station, per station 5000 kg sale after one year we are expecting. Capex will be around Rs 170 crore to develop the 100 stations. We are a debt free company and our internal accruals are also good. So, we may take some debt also to develop the stations,” he added.

For the overall business, Khara sees the company crossing Rs 1,000 crore revenue in FY21. He expects revenue of Rs 1,700 crore in FY22.

He further sees FY22 EBITDA at Rs 225 crore and expects FY24 EBITDA likely to cross Rs 400 crore.

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(Edited by : Pranati Deva)