The Hindu : Business : GAIL to augment pipeline capacity

Online edition of India's National Newspaper
Friday, Dec 21, 2007
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Business

GAIL to augment pipeline capacity

Special Correspondent

Project to be implemented in phases

NEW DELHI: The board of directors of GAIL (India) on Thursday approved Rs. 14,400-crore worth projects that include capacity augmentation of Dahej-Vijaipur, Vijaipur-Dadri, Chainsa-Jhajjar-Hissar and Dadri-Bawana-Nangal pipelines, along with their spurlines.

The total committed volume for gas transportation is 57.5 per cent of the additional capacity of 66 million standard cubic metre a day (mscmd) being created.

GAIL has entered into an agreement for a total gas volume of 27 mscmd for the Dadri-Bawana-Nangal and Chainsa-Jhajjar-Hissar pipelines. Besides, a gas supply agreement has been signed with Pragati Power Corporation for supply of 6 mscmd gas up to 2024.

Augmentation of the existing pipelines and laying of new pipelines will enhance the total gas transmission capacity, which in turn will mean availability of 158 mscmd of gas to consumers. Implementation of these projects is planned in two phases.

The new initiatives are expected to strengthen further the GAIL’s position as a major gas transmission company and add to the existing network of 5,600 km.

These pipelines would be built by GAIL on an ownership basis and are expected to be completed by 2011-12.

The total natural gas carrying capacity of GAIL would double to 280 mscmd.

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