Thursday 24 October 2013

Gail rises on inking gas cooperation agreement with Government of Bihar

Gail (India) has signed a Gas Cooperation Agreement (GCA) for Natural Gas Infrastructure and City Gas Distribution with the Department of Industries, Government of Bihar. Under the provisions of the GCA, GAIL and the Bihar Government will evaluate the feasibility for cooperation for the development of the use of eco-friendly fuel, especially natural gas, in the state as well as development of natural gas distribution and city gas infrastructure in identified urban areas and cities after obtaining due authorization from the Petroleum and Natural Gas Regulatory Board (PNGRB).

The company is constructing the 2,050 km Haldia - Jagdishpur pipeline from transmission and distribution of natural gas, of which about 621 km will pass through 14 districts of Bihar. The mainline of the Haldia Jagdishpur will cover 04 districts of Bihar such as Kaimur, Rohtas, Aurangabad, Gaya and 10 districts for the spur lines. GAIL will explore the possibility of City Gas Distribution in major towns of Bihar along this pipeline route.

GAIL and Industries Department, Bihar will also work towards promotion of joint venture for City Gas Distribution projects for domestic, commercial, industrial and transport sectors with the participation of GAIL or its wholly owned subsidiary GAIL Gas and concerned departments of the Bihar Government, other state agencies or private players.

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