Companies

GAIL places ₹306-crore order for pipeline project

Our Bureau New Delhi | Updated on January 16, 2018 Published on October 11, 2016


Moving ahead with construction of the Jagadishpur-Haldia-Bokaro-Dhamra Natural Gas Pipeline (JHBDPL), GAIL (India) Ltd, has placed orders for pipeline laying work of 345 km from Phulpur to Dobhi under phase-IB at an estimated cost of ₹306 crore.

This phase of the project has been divided into spreads to be executed by JSIW Infrastructure Pvt Ltd and IL&FS Engineering & Construction Co Ltd, respectively, GAIL said in a statement issued on Monday.

Laying works under phase-IB shall commence by the end of October and the project is targeted to be completed by December 2018, the company added.

The Cabinet Committee on Economic Affairs has recently approved capital grant of 40 per cent amounting to ₹5,176 crore over five years for the pipeline project to be implemented by GAIL at an estimated capital outlay of ₹ 12,940 crore.

The first phase at a project cost of ₹3,200 crore covers 755 km from Phulpur, Mani, Gorakhpur, Varanasi, Dobhi, Silao, Patna and Barauni spread across various sections. Pipeline construction is already under progress along the Gaya-Barauni-Patna section.

The 2,539-km JHBDPL is scheduled for completion by December 2020 and will connect major cities and towns enroute for commencing piped natural gas to homes across UP, Bihar, Jharkhand, West Bengal and Odisha, in addition to supplying feed gas to anchor fertiliser units at Gorakhpur, Barauni and Sindri.

The Line Pipes supplies against orders are expected to commence soon from Jindal Saw Ltd, MAN Industries (India) Ltd, Essar Steel India and Zhongyou BSS (Qinhuangdao) Petro pipe Co Ltd, China.

The JHBDPL pipeline network shall serve to be the gateway for rapidly expanding natural gas based clean energy to Eastern India spanning across five States ushering growth and development with a potential to serve as a natural gas hub for the neighbouring Asian economies of Nepal and Bangladesh.

Published on October 11, 2016
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