Towngas, Hong Kong's dominant gas supplier, faces the threat of a higher risk premium in renewing its insurance cover.
Hong Kong and China Gas experienced a turbulent time last month when an inspection of the 450km pipeline network revealed 51 leaks at three locations.
The leaks were discovered after a gas blast in Jordan Valley, Ngau Tau Kok, killed an elderly woman and injured eight people.
Insurance experts said the leaks and potential for claims by victims would prompt Towngas' insurance provider to reassess the company's risk.
Higher repair and maintenance costs were expected to result from fixing the leaks and upgrading pipelines to restore the company's safety record, financial analysts said.
'The gas explosion was widely reported and the damage was pretty serious. Many victims are threatening to claim against the company, which may result in tens of millions of dollars in compensation,' said a senior executive with an insurance company who did not want to be named. 'The higher the risk level, the higher the premium the company needs to pay in cases of property or liability insurance.'