Deal to supply upto 900,000 SCMD of natural gas from OIL’s Rajasthan fields
New Delhi, July 09 GAIL (India) Limited and Oil India Limited (OIL) have inked a Gas Sale and Purchase Agreement to extend the current Gas Sale and Purchase Agreement for an additional 15 years, beginning on July 1, 2025. Up to 900,000 Standard Cubic Meters per Day (SCMD) of natural gas will be supplied by OIL’s Bakhri Tibba Block in Rajasthan, which includes the Dandewala, Tanot, and Bagi Tibba fields.
Ranjan Goswami, ED (BD), OIL, and Sumit Kishore, ED (Marketing-Gas), GAIL, signed the contract.
The commitment of both Maharatna CPSEs to producing, transporting, and distributing natural gas from domestic gas fields is highlighted in this agreement, illustrating their cooperative strategy to improve energy security and accessibility. M/s Rajasthan Rajyut Utpadan Nigam Limited (RRVUNL), a state- un power plant, would receive the sourced gas.
In the fiscal year 2024–2025, GAIL’s 16,421 km network of natural gas pipelines, which are dispersed throughout the nation, carried about 127 MMSCMD of natural gas. To improve the spread even more, it is also working on several pipeline projects at the same time. With a capacity of 810 KTA at Pata and 280 KTA at BCPL, GAIL owns and runs a gas-based petrochemical complex at Pata.
Furthermore, GAIL’s LNG portfolio, which accounts for 61% of India’s total LNG imports, is 16.56 MMTPA (about 60 MMSCMD). In the City Gas Distribution market, GAIL and its subsidiaries and joint ventures hold a significant market share. Additionally, GAIL is growing its footprint in renewable energy sources like wind, solar, and biofuel.
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