Adani and IndianOil in Chandigarh gas race

Vol 17, PW 8 (14 Nov 13) Midstream & Downstream

Adani Gas and IndianOil need to move fast to meet their commitment to the PNGRB for their gas retail operations in Chandigarh.

Adani/IOC won the contract on May 8, 2013 and in the first year committed to lay 1400-inch km steel pipeline and sign up 50,000 piped gas customers. Pressure is building as the firms have only six months to meet their target.

But Adani is confident it can be achieved. "We have set up a company to execute the project: Indian Oil Adani Gas Pvt.

Ltd," he says. A project office in Chandigarh will also be operational by December.

“Once that is done,” he adds, “we will lay gas pipelines.” In the second year the consortium committed to lay 350-inch km of steel pipeline and sign up 175,000 piped gas customers, with a final network target by year-five of 700,000 customers.

“We have a large area to cover,” adds IOC. “Apart from Chandigarh we will cover (nearby towns) Dera Bassi, Panchkula, Mohali, Parwanoo, Baddi and Nalagarh.

” Adani and IOC also plan to build two CNG stations. “We will source gas from GAIL’s (610-km) Dadri to Nangal pipeline,” adds IOC.

“The pipeline has a ‘tap off’ at Zirakpur (near Chandigarh). Some APM gas from ONGC’s fields will be available soon and we’ll ask for an allocation.

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