GAIL is planning to invest INR 30,000 crore in capex over the next 3 years, on pipelines, petrochemical projects, and city gas distribution. The company is also exploring the opportunity of equity acquisition in an LNG liquefaction terminal.
Aug 23, 2023
GAIL (India) intends to invest INR 30,000 crore in capex over the next three years, primarily on pipelines, petrochemical projects, and city gas distribution. In FY23 the company had a capex of INR 10,000 crore. According to GAIL CMD, Mr. Sandeep Kumar Gupta, “Company is growing steadily and creating infrastructure facilities across the nation. We are targeting to incur a capex INR 30,000 crore in the next 3 years, mainly on pipelines, ongoing petrochemical projects, CGD projects, operational capex, equity contribution in group companies, etc.” GAIL (India) is also trying to secure natural gas for the country and consumers from different countries to avoid any future volatility. “Your company has issued an EoI to explore the opportunity of equity acquisition in an LNG liquefaction terminal along with 1 million MTPA LNG tie-up from the USA,” he said.
The CMD further said that GAIL (India) has taken steps to provide tie-in connections with its natural gas pipelines to the upcoming new gas sources and upcoming RLNG terminals to enable more and new gas injections into its pipelines. Mr. SK Gupta also said that GAIL was able to achieve a gross turnover of INR 1.43 trillion in the last fiscal, which was a 57 percent increase over the previous year. The CMD further said that “Gas transmission and gas marketing are the key drivers of GAIL’s business and during FY 23, we transmitted 107 million metric standard cubic meter per day (mmscmd) of natural gas, marketed 95 mmscmd of natural gas and sold 399 TMT of polymer.” Gupta said it is estimated that GAIL would achieve over 120 mmscmd of natural gas transmission, over 100 mmscmd of natural gas sales, and 800 TMT of polymer sales.