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    Gail Takes Forward Major East India Pipe Projects

Summary

The contracts, worth Indian rupee 105bn ($1.5bn), have been awarded for the Jagdishpur-Haldia & Bokaro-Dhamra Natural Gas Pipeline (JHBDPL) and Barauni – Guwahati Pipeline (BGPL) projects.

by: Shardul Sharma

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Gail Takes Forward Major East India Pipe Projects

India’s biggest gas transportation and marketing firm Gail completed awards for all major contracts for pipe supply and laying for two major gas pipelines, it said May 10.

The contracts, worth Indian rupee 105bn ($1.5bn), have been awarded for the Jagdishpur-Haldia & Bokaro-Dhamra Natural Gas Pipeline (JHBDPL) and Barauni – Guwahati Pipeline (BGPL) projects. The 2,650-km JHBDPL project, also known as Pradhan Mantri Urja Ganga, will pass through the eastern Indian states of Uttar Pradesh, Bihar, Jharkhand, West Bengal & Odisha. The pipeline is being further extended from Barauni to Guwahati in the northeastern state of Assam through a 729-km pipeline. 

Gail has placed an order worth Indian rupee 4.75bn for steel line pipes of about 280 km to provide pipeline connectivity from Durgapur to Haldia including spur line to Kolkata in West Bengal.

The pipeline has already reached Barauni in the state of Bihar and Gail said it is ready to supply gas to refinery and upcoming fertiliser plant. The pipeline also supplies gas for Patna city gas distribution network.

“This is a major milestone towards providing green fuel to eastern part of the country. The work for balance portion is going on in full swing and is scheduled to be completed by December 2021 in a phased manner,” Gail said.

The construction work of Dobhi – Durgapur pipeline section is likely to be completed by December 2019 for supplying gas to Matix Fertilizers in Durgapur in West Bengal.

Gail is at present executing around 5,500 km of pipeline related projects for Indian rupee 250bn to provide gas supply largely to areas of eastern and southern parts of the country. Another 1,400 km pipeline involving capex of Indian rupee 70bn is under evaluation, which is targeted to be completed by 2023, the company said.

"Gail is committed towards creating the national gas grid providing natural gas connectivity throughout the country. Gail will soon raise loan for the upcoming huge capex programme for laying natural gas related infrastructure.

"Gail has exceeded its capex target of Indian rupee 64bn for FY 2018-19. Major contracts for integrated JHBDPL including BGPL have been awarded which will contribute to the economic development of the country and provide employment opportunities in the pipeline project and City Gas Distribution networks in the country,” Gail chairman BC Tripathi said.