core sector communique

 

GAIL completes route survey for Dabhol – Bengaluru pipeline

 

Karnataka Government approves the project

Bengaluru, January 21, 2010. GAIL (India) Limited has completed the route survey for its 1400 Km Dabhol - Bengaluru gas pipeline project for supplying natural gas to Karnataka. This was informed to the Hon’ble Chief Minister of Karnataka Shri B S Yeddyurappa, Shri S V Rangnath, the Chief Secretary, Shri K. Jairaj,  the Additional Chief Secretary, Energy and other senior officials of Government of Karnataka by Shri B C Tripathi, Chairman and Managing Director, GAIL (India) Limited, when he called on this morning.  Mr. Tripathi also handed over a cheque for Rs. 2 crore for flood relief in Karnataka to the Hon’ble Chief Minister.

GAIL has completed the route survey of the total length of the pipeline network and the tendering process for line pipe procurement will start shortly. The High level clearance committee of the Karnataka Government has already accorded approval for the pipeline projects and the Government of Karnataka has nominated Karnataka State Industrial Investment Development Corporation (KSIIDC) as nodal agency for facilitating the acquisition of land for Dabhol- Bengaluru Pipeline project. GAIL has already applied for various crossing permissions for laying the pipeline and will set up a Regional Gas Management Centre at Bengaluru for distribution and supply of the gas business through this pipeline.

 

GAIL is currently implementing 1,389 km, 30 inch diameter Dabhol-Bengaluru pipeline at an investment of Rs. 4543.43 crore with a design capacity of 16 MMSCMD. In part A of the first phase, 402 km pipeline will be laid from Dabhol to Gokak along with spurlines to Belgaum and Goa at an estimated investment of Rs.1593.47  crore and is scheduled to be completed by 2011-12.In part B of the phase I, 570 km pipeline will be laid from Gokak to Bengaluru (KPCL, Bidadi) along with spur lines / feeder lines to Bengaluru at an estimated investment of Rs. 2,463.91 crore and is scheduled to be completed by 2011-12 / 2012-13. In phase II of the project, 417 km spur lines / feeder lines will be laid to Ratnagiri, Kolhapur, Sangali,   Bijapur, Dharwad, Devangere, Harihar and Tumkur at an estimated investment of Rs. 486.05 crore and is scheduled to be completed by 2012-13 / 2013-14.

 

About GAIL (India) Limited

GAIL (India) Limited is India's principal Natural Gas Company with activities ranging from Gas Transmission and Marketing to Processing (for fractionating LPG, Propane, SBP Solvent and Pentane); transmission of Liquefied Petroleum Gas (LPG); production and marketing of Petrochemicals like HDPE and LLDPE and leasing bandwidth in Telecommunications. The Company has extended its presence in Power, Liquefied Natural Gas (LNG) re-gasification, City Gas Distribution and Exploration & Production through equity and joint venture participations.

 

GAIL is one of the leading public enterprises with a consistently excellent financial track record. Turnover during the last ten years has shown a compounded annual growth rate of 15 per cent. The Profit After Tax (PAT) during FY 2008-09 was Rs.2,804 crore. The Company's turnover during FY 2008-09 was Rs.23,776 crore.  GAIL owns and operates over 7,200 km. of natural gas transmission network with the transportation capacity of 155 MMSCMD in the country. The extensive natural gas infrastructure established over the last two decades has enabled sustained development of sizeable gas market in the country. GAIL has a track record of operating the pipelines efficiently and maintaining high safety standards. GAIL has robust future plans and a road map has been developed to increase pipeline infrastructure to 12000 km by 2012-13 at an estimated expenditure of Rs. 28,000 crore which will lead to a transmission capacity of 300 MMSCMD.

 

GAIL, which is the first company in India to own and operate pipelines for LPG transmission, has a 1,900 km LPG pipeline network, 1,300 km of which connects the Western and Northern parts of India while 600 km of network is in the Southern part of the country. The LPG transmission system has a capacity to transport 3.8 MMTPA of LPG GAIL owns and operates a gas based integrated petrochemical plant at Pata, Uttar Pradesh with a capacity of producing 400,000 TPA of Ethylene and 410,000 TPA of Polymers i.e. HDPE and LLDPE. GAIL is setting up a 280,000 TPA Petrochemical Complex at Lepetkata, Dibrugarh, Assam at an investment of Rs. 5,460 crore, through a Joint Venture Brahmaputra Cracker and Polymer Limited.

 

GAIL was the first company to introduce City Gas Projects in India and has set up a subsidiary company ‘GAIL Gas Limited’ to pursue city gas distribution and CNG corridor projects. GAIL has formed eight Joint Venture companies for supplies to households, commercial users and for the transport sector in 8 cities (Delhi, Mumbai, Hyderabad, Tripura, Kanpur, Lucknow, Agra and Pune). On the global front, GAIL has established its CNG and City Gas presence in Egypt through equity participation in Fayum Gas, Shell CNG and Natgas, Egypt. It has also acquired stake in China Gas Holdings for CNG opportunities in mainland China.