India’s leading state-owned natural gas company, GAIL (India) Ltd., has formally approved a substantial ₹5,363.88 crore project dedicated to significantly expanding the capacity of its critical Jamnagar-Loni liquefied petroleum gas (LPG) pipeline.
This ambitious initiative aims to boost the pipeline’s operational capacity from its current 3.25 Million Metric Tonnes Per Annum (MMTPA) to an impressive 6.5 MMTPA. GAIL’s announcement to stock exchanges highlighted that the existing facility is already operating at a high utilization rate of 3.22 MMTPA, underlining the pressing demand for this infrastructure upgrade.
The Petroleum and Natural Gas Regulatory Board (PNGRB) granted its authorization for this expansion on July 23, with a clear completion target set for 36 months from that date. GAIL intends to fund this extensive development through a balanced combination of debt and equity.
In other significant decisions, the GAIL board also approved a revised schedule for the 1,702 km Mumbai-Nagpur-Jharsuguda natural gas pipeline project. Its new completion date has been extended from September 30 to December 31, allowing for additional time to finalize the extensive project.