Billionaire Mukesh Ambani said his firm Reliance Industries will supply natural gas to Anil Ambani Group’s power plants as and when they are ready to receive the gas.

Addressing company shareholders, Ambani mentioned the Supreme Court judgment upholding the company’s stand that government has a major say in pricing and allocation of gas produced from RIL’s eastern offshore KG-D6 fields and that RIL would supply gas to Anil Ambani group in accordance with government policy.

“With the legal dispute behind us, we look forward to harmonious and constructive relationship with ADAG,” Ambani said at the meeting, for which Anil did not turn up as speculated in the market and media.

The supplies to Anil Ambani Group’s power plants including the one proposed at Dadri near Delhi, will be subject to government approving the allocation of the fuel, Mukesh Ambani said.

The Supreme Court had last month asked the companies headed by the two brothers to rework a gas supply contract keeping the government policy on pricing and allocation in mind.

Mukesh, 53, however did not say when RIL will be entering into a new Gas Sales and Purchase Agreement (GSPA) with Anil’s Reliance Natural Resources Ltd (RNRL) as had been ordered by the apex court.

RIL production from KG-D6 block exceeds 60 million standard cubic meters per day and over 30,000 barrels per day, Mukesh Ambani said.

“RIL has intensified exploration campaign off the east coast,” added Ambani.

In his speech Mukesh Ambani proposed 70 per cent dividend or Rs 7 a share for 2009-10 fiscal for RIL shareholders.

The court had, on May 7, turned down gas to Anil-led RNRL from RIL’s KG-D6 basin at prices arrived at in a 2005 private family agreement.

RIL, which acquired 40 per cent in shale gas assets of Atlas Energy in US, will continue to pursue shale gas opportunities, Mukesh Ambani said. The energy major was also drawing mega investment plans in coal, hydel and nuclear power.

RIL is also looking at expediting developing discoveries in blocks KG-D6 in Krishna Godavari basin, NEC-25 in Mahanadi basin, CB-10 in Cambay basin and Sohagpur CBM block.

“Annulling of non-compete agreement with ADAG was a game changing development that paved the way for Reliance to participate in power sector,” added Mukesh Ambani.

Reliance Industries, which has agreed to buy Infotel, the only company to win a nationwide licence in India’s wireless broadband auction, will follow an “asset light” approach in telecoms and collaborate with partners.