GAIL, Oil India extend gas supply agreement by 15 years for Rajasthan block
Published on 10/07/2025 12:33 PM
To extend the existing gas sale and purchase agreement for another 15 years, GAIL (India) has signed an agreement with Oil India Limited (OIL), starting from 1st July, 2025, according to an official statement by the company. The agreement is for supply of 900,000 standard cubic metres per day (SCMD) of natural gas from OIL's Bakhri Tibba block in Rajasthan, which includes Dandewala, Tanot, and Bagi Tibba areas, GAIL said on Thursday.
The agreement was executed by GAIL Executive Director (Marketing-Gas) Sumit Kishore and Oil India Executive Director (BD) Ranjan Goswami in New Delhi.
GAIL further said that the agreement highlights the dedication of both the Maharatna CPSEs in production, transportation and distribution of natural gas available from domestic gas fields, and demonstrates their collaborative approach towards enhancing energy security and access.
The gas obtained will be supplied to the state-run power plant of M/s Rajasthan Rajya Vidyut Utpadan Nigam Limited (RRVUNL).
GAIL owns and operates a 16,421 km network of natural gas pipelines spread across the country, which will transmit over 127 MMSCMD of natural gas in FY 2024-25.
Apart from this, it is also simultaneously working on the implementation of several pipeline projects to further expand its expansion.
The company also owns and operates gas based petrochemical complexes at Pata with a capacity of 810 KTA at Pata and 280 KTA at BCPL.
In addition, GAIL's LNG portfolio is 16.56 MMTPA (about 60 MMSCMD), accounting for 61 per cent of India's total LNG imports. GAIL and its subsidiaries/joint ventures also have a large market share in city gas distribution.
According to the company statement, it is also increasing its presence in the field of renewable energy, like solar, wind, and biofuel.
With the inputs of ANI
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