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The dispute between RNRL and RIL centered around the implementation of a gas supply arrangement that was part of a court-sanctioned scheme of arrangement in 2005. As per the scheme,
...RIL was required to supply 28-40 MMSCMD of natural gas from its KG D-6 basin to RNRL at terms similar to RIL's NTPC contract, which had a price of $2.34/mmbtu. However, in 2006 the government rejected RIL's request to supply RNRL at that price and instead set a formula-based price of $4.2/mmbtu. This led to a dispute between the companies, with RNRL filing an application seeking the court's intervention to direct RIL to supply gas as per the sanctioned scheme terms.
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