GSPL gets contract for 3 cross- country gas distribution pipelines

Posted By: Religare
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GSPL gets contract for 3 cross- country gas distribution
Gujarat State Petronet Ltd, (GSPL) gas won a contract from petroleum and Natural Gas Regulatory Board (PNGRB) for laying three cross- country gas distribution pipelines which are Mallavaram-Bhilvara (1611 km), Mehasana-Bhatinda (1688 km) and Bhatinda-Jammu (512 km) pipelines, estimated to cost Rs 12,500 crore.

Commenting on this, GSPL Managing Director Tapan Ray said, "The GSPL-led consortium was declared the lowest bidder by PNGRB in October 2010 and LoA for the three cross-country pipelines was issued on Wednesday."

The pipelines are estimated to be built at an initial capital expenditure of Rs 12,500 crore and will have capacity to carry around 95 MMCD (million metric cubic meters per day) of gas.

Speaking on the significance of the contract, Ray said, “The laying of three major gas pipelines will facilitate the development of networks leading to the evolution of the much-awaited National Gas Grid, which is critical for the country's energy security."

GSPL has 52 per cent stake in the consortium, IOC has 26 per cent stake, BPCL has 11 per cent stake and HPCL 11 per cent stake.

Read more about: oil and gas, gspl, bse
Story first published: Monday, May 23, 2011, 13:31 [IST]
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