Gas Authority of India Ltd
(GAIL), is primarily engaged in transportation and wholesale
distribution of natural gas. The company owns and operates a
network of over 4000 kilometres of pipeline, including a 2,702
kilometer pipeline located in northwestern India (the "HBJ
Pipeline"). The HBJ pipeline transports approximately 61mn
cubic metres of natural gas per day, which is 95% of the total
amount of natural gas transmitted through pipeline in the
country. The company registered a net profit growth of 31% in
FY01 to Rs 11262mn as compared to Rs 8613mn in the previous year.
The company has also diversified into other integrated energy and
petrochemical activities. GAIL has 6 natural gas processing
units, which produce liquefied petroleum gas and a petrochemical
complex, which produces high density and linear low density
polyethylene and butene.
Currently the company depends on ONGC and OIL for its gas supply.
However the company has plans to integrate backward to secure
access to additional gas supply. It has entered into strategic
alliance with ONGC & IOC to bid for selected gas-focused
exploration blocks in offshore regions. Additionally the company
has equity participation in Petronet LNG Ltd, a joint venture
formed between Oil companies in India, to import liquefied
natural gas at various locations in the southern and western
parts of India.
The Company also intends to focus on downstream opportunities.
GAIL has entered into retail marketing of gas, which it views as
a natural extension of its bulk transportation business. The
company has formed Mahanagar Gas Limited - a joint venture with
British Gas to promote the distribution and marketing of natural
gas to domestic, commercial and small industrial consumers in
Mumbai and compressed natural gas to the transport sector.
Indraprastha Gas Limited -is another such joint venture to
promote usage of natural gas in Delhi. The Company believes these
retail-oriented expansions would increase overall demand for gas
and offer increased margins for the Company.
Petrochemicals is a major area of
GAIL's business activity. GAIL has set up a world-scale Gas
Cracker plant at Pata in Uttar Pradesh in Northern India at an
investment of Rs. 25 billion having a design capacity to produce 300,000 TPA of ethylene
(Expandable to 500,000 TPA).
The Plant was commissioned in March 1999. Downstream units
include an HDPE
production unit of 100,000 TPA
capacity and an LLDPE/ HDPE Swing plant of 160,000 TPA capacity.
GAIL's petrochemical complex,the first one outside Western India,
is introducing MITSUI's technology for production of HDPE in
India. Speciality grades from this technology are a replacement
to a very large extent. In addition to this technology which is
based on slurry process, GAIL's other downstream plant(swing
plant of HDPE/LLDPE) is based on solution process using
Sclairtech Technology of NOVA Chemicals, Canada. With the
availability of both the processes, GAIL can produce a very wide
grade range of HDPE. Besides, steady price and availability of
input raw material (Natural Gas) and same tariff exemptions are
the major advantages of GAIL in this highly competitive industry.
The current per capita consumption of plastics in India is about
1.8 kg compared with the world average of 17 kg. Demand and
supply projections indicate a progressively increasing domestic
offtake. Being the only plant outside the Western part of the
country, it offers easy access to polymer consumers in Northern
India and parts of Central India.
India GAIL to boost PE capacity
by 50 kt/yr by Mar 2003
The Gas Authority of India plans to boost the capacity of its
polyethylene complex in Auraiya by about 50,000 mt/yr by March 2003, a company source said
Wednesday. This would hike the total nameplate capacity of the
complex to 310,000 mt/yr. GAIL would add two to three new
furnaces to its two existing PE plants for the expansion. One
plant currently has the capacity to produce 100,000 mt/yr of high
density PE and the other, 160,000 mt/yr of linear low density
grade. GAIL already has surplus ethylene capacity to support its
PE expansion. It has a 300,000 mt/yr ethylene plant which it
constantly operates below capacity. Auraiya is about 400km from
New Delhi.
Financial Daily (India) 2002/7/24
GAIL board okays 10 pc stake in
Haldia Petro
THE board of Gas Authority of India Ltd (GAIL) today approved a
proposal to take
a 10 per cent equity stake in Haldia Petrochemicals Ltd. The approval is contingent on the
financial restructuring taking place. The investment will be of
the order of around Rs 200 crore.
GAIL's entry into HPL follows the breakdown of talks with Indian
Oil Corporation, which was set to acquire a 26 per cent stake in
the company.
IOC had proposed an equity structure where they would hold 26 per
cent, WBIDC 24 per cent and Chatterjee Petrochem (Mauritius) 24
per cent. But The Chatterjee Group, holding 43%, was not willing
to cut it below 26 per cent. IOC was apprehensive that they would
be ousted once the project turns around in a few years and hence
was not willing to budge on the equity holding structure. The
GAIL board also approved a proposal to jointly bid with L&T
to acquire a controlling stake in Engineers India Ltd (EIL).
While L&T will hold a 51 per cent stake, EIL will hold the
rest.
Mr Tarun Das, HPL Chairman, told newspersons after the board
meeting on Tuesday: "We have agreed to IOC taking up 26 per
cent stake in the company with management control." Today's
meeting was attended by most of the members barring
representatives of the Tata group (holding 14%), which has
expressed a wish to exit, as it was not part of its core
business.
Representatives of LIC, IFCI and the State Finance Department
were also absent.
Financial Times December 3, 2002
Gail Board Approves Marketing Alliance With Haldia Petrochemicals
(GAIL and HPL to enter into 4 commercial agreements for selling
their petrochemi
The board of directors of the Gas Authority of India Ltd (GAIL)
has approved a strategic marketing alliance with Haldia
Petrochemicals Ltd (HPL), under which the 2 companies will enter
into 4 commercial agreements for selling their petrochemical
products. GAIL and HPL will enter into 3 separate long-term
offtake agreements for polypropylene, propylene and pentane.
They will also enter into a product-swap agreement for 40,000
million tonnes per annum of prime-grade polyethylene.
Under the terms and conditions of the agreement, GAIL has agreed
not the sell the products to any of HPL's regular customers. Both
the companies will save on freight costs that they are incurring.
2003/1/8 Asia Pulse Businesswire via NewsEdge Corporation
GAIL INDIA FORGES ALLIANCE WITH HALDIA PETROCHEMICALS
State-owned gas firm GAIL India (GAIL) Ltd said it has entered into a strategic alliance with Kolkata-based Haldia Petrochemical Ltd for marketing of petrochemical products.
"The strategic alliance with HPL covers marketing of HPL's polypropylene of 35,000 tones per annum by GAIL and product swapping to the tune of 40,000 tonnes per annum of polyethylene for marketing by HPL in domestic market and for GAIL in export/domestic market," a company statement said here Friday.
The tie-up on polypropylene is of high importance to GAIL as it would increase their polymer product portfolio without any additional capital investment.
"This would enable GAIL to consolidate their customer base and service their customers effectively with multiple polymer product portfolio," it said.
The product swapping arrangement is expected to provide synergetic advantage to both the petrochemical majors as the companies will leverage their location advantage for mutual benefits i.e. GAIL will be able to fulfill its ongoing export programme, through Haldia port by marketing HPL's polyethylene to export market and also service their customers in eastern region.
In exchange, HPL would be able to serve its customers located in the northern India by marketing GAIL's polyethylene.
India's Gail to increase
ethylene capacity to 450 kt/yr by Dec
Gail (India) Ltd is to increase its ethylene manufacturing
capacity at the Pata plant in Uttar Pradesh to 450,000 mt/yr from
the current 310,000 mt/yr by December, investing around Rupee
7-bil, Gail chairman and managing director Proshanto Banerjee
said on the sidelines of an industry conference Monday.
The state-run petrochemical company is augmenting its ethylene
capacity by increasing the number of cracker furnaces from four
to five, and is also setting up an additional LLDPE/HDPE (Swing
Plant) of 100,000 my/yr at the same petrochemical complex to
utilize the additional ethylene production.
The company manufactures a wide variety of polyethylene grades,
including injection moldings, blow moldings, raffia, monofilament
pipe, and film. The petrochemical complex consists of a gas
sweetening unit, a C2/C3 recovery unit, a gas cracker, and two
downstream polyethylene units. It also has a dedicated HDPE plant
of 100,000 mt/yr capacity licensed by Mitsui of Japan and an
LLDPE/HDPE (Swing plant) of 210,000 mt/yr capacity licensed by
Nova Chemicals of Canada. (三井化学発表では既存エチレン300千トン、LL/HD 160千トン)
インド GAIL社向け高密度ポリエチレン製造技術ライセンスについて
http://release.nikkei.co.jp/detail.cfm?relID=91545&lindID=4
当社(社長:中西宏幸)は、インドのGAIL(India)Limited(以下「GAIL社」。社長:Mr.
P. Banerjee)と、同社の高密度ポリエチレン製造No.2プラント向け技術ライセンス契約を2004年6月末に締結しておりましたが、このたび、インド政府による承認を得て、正式に発効しました。
<技術ライセンスの概要>
1.ライセンス対象技術:当社保有の高密度ポリエチレン(*)製造技術
*:包装材料、パイプ及び日用雑貨等の素材として利用される樹脂
2.対象プラント:GAIL社高密度ポリエチレン製造No.2プラント(生産能力:10万トン/年)
3.プラント建設地:インド国 ウッタル・プラデシュ州 パタ
4.プラント完工:2006年中(予定)
GAIL社は1984年にインド政府により設立されたガス供給会社で、1993年にはウッタル・プラデシュ州パタに天然ガスを原料とする石化コンビナートを建設して石油化学事業にも進出しています。同コンビナート内には当社から技術ライセンスを受けた年産10万トンの高密度ポリエチレン製造プラント(No.1プラント)があり、現在も順調に稼動中です。今回、GAIL社は同No.2プラントを建設するにあたり、同プラントにおいても当社技術を採用することとなりました。これは、No.1プラントにおける当社技術、アフターサービス、及び当社が開発した改良型チーグラー触媒の性能が高く評価されたことによるものであります。
本ライセンスは、当社にとってGAIL社No.1プラント(1993年)、Haldia Petrochemicals Ltd.(1996年)に次ぐインドにおける3番目の高密度ポリエチレン製造技術ライセンスであります。また、本ライセンス契約発効により、全世界における当社のポリエチレン製造技術供与は41系列、合計生産能力は年産450万トン超となります。
当社が保有するポリオレフィン製造プロセス技術は、世界的にも極めて高い水準にあると評価されており、豊富なライセンス経験を活かして今後とも全世界をターゲットにライセンス活動を展開してまいります。
<GAILの会社概要>
1.事業内容:ガス及び石化製品の製造販売
2.本社所在地:インド ニューデリー市
3.資本金:85億ルピー(約204億円)
4.売上(2003年度):1,200億ルピー(約2,880億円)
5.従業員数:約3,500名
6.石化工場立地:ウッタル・プラデシュ州 パタ
7.主要石化プラントの現有生産能力
ガスセパレーション 40万トン/年 エチレン 30万トン/年
HDPE(当社技術) 10万トン/年 HDPE/LLDPE 16万トン/年
2006/5/24 Gail
GAIL
to implement Rs. 5460 crore Assam Gas Cracker Project
http://gail.nic.in/pressreleases/press050000167.htm
With the recent
approval of the Cabinet Committee on Economic Affairs (CCEA),
GAIL (India) Limited led Joint Venture Company (JVC) will
implement the Rs. 5460.61 crore Assam
Gas Cracker Project. The project to set-up an
integrated Petrochemical Complex at Lepetkata, District Dibrugarh
shall be implemented by a Joint Venture Company (JVC) to be
promoted by GAIL with 70% equity
participation. The remaining 30% equity will be shared equally
among OIL(Oil India Ltd), NRL(Numaligarh Refinery Ltd ) and Govt.
of Assam.
The project will be completed in 60 months from the date of
approval.
The
project is expected to give rise to a substantial employment
generation as a result of investments in downstream plastic
processing industries and allied activities. It has been
estimated that about 500 plastic processing industries are likely
to come up in the north-eastern region if this project becomes
operational. The Government of Assam has agreed to grant
Exemption from Entry tax on capital goods, Exemption from Works
Contract Tax during construction and Sales Tax / VAT exemption on
feed stock and products for 15 years from the date of
commencement of production.
The
Feedstock for the Petrochemical Complex is 6.0 MMSCMD gas from
Oil India Limited (OIL) Duliajan and 1.35 MMSCMD gas from Oil
& Natural Gas Corporation Limited (ONGCL) upto 31/3/2012 and
1.00 MMSCMD thereafter. The Petrochemical Complex shall also
utilize 160,000 TPA of petrochemical grade Naphtha from
Numaligarh Refinery Limited (NRL).
The
petrochemical complex will comprise of a cracker unit, downstream
polymer and integrated off-site/utilities plants. The complex has
been configured with a capacity of 220,000
tons per annum (TPA) of Ethylene and 60,000 tons per annum of
propylene with
Natural Gas and Naphtha as feed stock. The site has been
identified by the Govt. of Assam and necessary Environmental
clearance has been obtained.
The
existing LPG plant of GAIL at Lakwa will be modified to process
gas for recovery of ethane and higher hydrocarbon fraction which
will be transported to Lepetkata through a pipeline.
The
Products from the Petrochemical Complex shall be 220,000
Tons per annum (TPA) of HDPE/LLDPE, 60000 TPA of Polypropylene,
55000 TPA of Raw Pyrolysis Gasoline and 12,500 TPA of Fuel oil. The Assam Gas Cracker
Project was proposed as a part of the implementation of Assam
Accord signed by Government of India on 15th August, 1985. Letter
of Intent was issued to Assam Industrial Development Corporation
(AIDC) in January 1991. In February 1997, LOI was transferred to
Reliance Assam Petrochemicals Limited (RAPL), a joint venture
company of Assam Industrial Development Corporation and Reliance
Industries Limited. RAPL was granted various concessions by
Government of India for implementation of the Gas Cracker
Project.
The
work could not be started due to non-availability of sufficient
feed stock and other reasons.
Ministry
of Finance decided on 20.2.2003 that GAIL would examine the
feasibility of taking up the Assam Gas Cracker Project on its
own. GAIL would also indicate the assistance required from other
PSU’s and Government of India
for setting up the project. GAIL engaged services of Engineers
India Limited (EIL) to workout the project viability.
A
Pre-Feasibility Report (PFR) for the project was prepared
considering an integrated Petrochemical Complex. Thereafter a
Detailed Feasibility Report (DFR) was prepared by GAIL & EIL.
The financial appraisal of the project has been carried out by
IFCI Ltd.
October 3, 2007 business-standard.com
GAIL plans $2.3 billion petrochem plant in Iran
At a time when political and business relations between India and Iran are under pressure, government-owned GAIL India, the country's largest transporter and marketer of gas, plans to set up a mega $2.3 billion petrochemical plant in Iran. |
The Rs 16,047-crore company has appointed public sector consultancy, Engineers India Ltd, to conduct feasibility studies for the plant with a capacity of 3 million tonnes a year that is likely to be set up near the gigantic South Pars gas field in Iran. |
The largest petrochemical plant to be set up by GAIL, the project would have Reliance Industries Ltd (RIL) and an Iranian government-owned company as partners, a senior GAIL official said. |
RIL is the country's largest petrochemical company with a capacity of one million tonnes after it acquired IPCL from the government in June 2002, which has since merged with it. |
A source in the Iran embassy here confirmed that GAIL was likely to set up the plant in partnership with the Iranian National Petrochemicals Company. |
"Our petrochemical company has already completed the feasibility study on the plant. GAIL wanted to do one on its own too. Our company will wait for GAIL to complete its studies,・the Iran official said. |
So far, however, joint ventures between Indian and Iranian government-owned companies have not been fruitful. An agreement signed two years ago by GAIL and Indian Oil Corporation (IOC), India's largest oil refiner, and National Iranian Gas Export Company (Nigec) to supply liquefied natural gas (LNG) from Iran has not worked out. |
Another agreement between IOC and Iran to set up an LNG liquefaction plant in Iran will not be extended after the deadline expires this month. |
India is also likely to be left out of the ambitious $7.4 billion Iran-Pakistan-India (IPI) gas pipeline, which was to bring Iranian gas from the South Pars field to India. |
As disagreements arose with Iran over gas pricing and transportation charges with Pakistan, India did not attend the last two meetings on the pipeline at which Iranian officials claimed major progress. A draft agreement between Iran and Pakistan is likely to be signed at the end of this month, Iranian officials claim. |
On the political front, relations between the two countries have also been strained after India voted against Iran on two crucial issues at the Governors・Board of the International Atomic Energy Agency (IAEA) in 2005 and 2006 ・the first time to criticise Iran for not meeting its obligations under the Non-Proliferation Treaty and the second time to report Iran's file to the UN Security Council for possible possession of weapons of mass destruction. |
GAIL will also set up another petrochemical plant in south India with a capacity of 1 million tonne a year. That plant is likely to come up at Vishakapatnam near Hindustan Petroleum Corporation's refinery. GAIL officials, however, declined to disclose the possible investments in that plant. |
The company operates a 440,000 tonnes a year petrochemical plant at Pata in Uttar Pradesh. It had planned another plant at Kochi, which is yet to start. |
2007/9/24 plastemart.com
GAIL open to approach RIL aboard Iranian petrochemical project
Gail India is open to
approach domestic private sector refiner and petrochemicals major
Reliance Industries Ltd (RIL) on board an Iranian petrochemical
project. As per an earlier plan, GAIL and Indian
Oil Corporation (IOC)
were to partner the project along with the National Iranian
Gas Export Company.
GAIL and IOC had signed a memorandum of understanding with the
Iranian government for using natural gas from South Pars field to
run the petrochemical plant.
Gail had earlier this year entered into general memoranda of
understanding with both IndianOil and RIL. As part of the MoU
with RIL, it would be taking up natural gas (including city gas
and marketing) and petrochemical projects within and outside
India. India had also signed a 5 mt LNG deal with Iran but the
future of the deal hangs in balance since the deal was linked to
development of Jufeyr and Yadavarn fields and Iran had informed
India that the latter deal had expired.
2008/10/31 GAIL
GAIL, IOCL ink MoU for cooperation in Petrochemicals
GAIL (India) Limited and Indian Oil Corporation Limited (IOCL)
today signed a Memorandum of Understanding (MoU) for cooperation
in the area of Petrochemicals to collaborate for exploring the
possibility of setting up of cracker complex
including downstream derivatives at Barauni. Dr. U. D. Choubey, Chairman and
Managing Director, GAIL and Shri Sarthak Behuria, Chairman, IOCL
signed the MoU in presence of Shri R.S. Pandey, Secretary,
Ministry of Petroleum and Natural Gas. Present on the occasion
were Shri R. K. Goel, Director (Finance), Shri Santosh Kumar,
Director (Projects), Shri B. C. Tripathi, Director (Marketing),
Shri Arun Singhal, Chief Vigilance Officer from GAIL and Shri
B.M. Bansal, Director (Planning & Business Development),
IOCL.
A Joint Working Committee consisting of two representatives from
each Company shall be formed for undertaking techno-economic
feasibility study of the project including feedstock (naphtha and
natural gas) management.
GAIL shall assess the prospect of natural gas availability from
the KG basin field including the potentiality of the rich gas to
be used as part of the feedstock for the Project and work out the
modality for distribution of the same from KG basin field to the
Project site. GAIL will subsequently develop appropriate
definitive agreement for supply of the gas to the joint venture,
once formed.
IndianOil shall assess the prospect of availability of off-gas
and naphtha not only from Barauni refinery but also from other
operating refineries of IndianOil, to be used as predominant
feedstock for the said Project and work out the modality for
positioning of the same to the Project location. IndianOil will
subsequently develop appropriate definitive agreement(s) for
supply of the feedstocks to the joint venture, once formed
The polymer market is growing rapidly in India and the growth
rate registered in the recent times has been significant. There
is a potentiality for considering a mixed feed cracker complex
based on Naphtha and natural gas at Barauni based on the raw
materials available from Barauni refinery and other nearby
refineries, besides the prospect of natural gas source in Eastern
region, resulting in availability of prospective feedstock for
the cracker complex.
India is amongst the fastest growing petrochemicals markets in
the world. Taking this into consideration and to enhance its
downstream integration, IndianOil and GAIL are focusing on
increasing their presence in the domestic petrochemicals sector
besides the overseas markets through systematic expansion of
customer base and innovative supply logistics.