GAIL targets Hosur for R-LNG from Dabhol

Vol 17, PW 17 (10 Apr 14) News in Brief

GAIL might soon extend its 1389-km gas pipeline from the Dabhol LNG terminal in Maharashtra to Bangalore in Karnataka by another 70-km to supply the vehicle and manufacturing hub of Hosur in Tamil Nadu.

“Hosur is only 70-km from Bangalore,” says a source, “It won’t take long to extend the pipeline there.” GAIL is in talks with two vehicle manufacturers at Hosur, where it believes demand is 1m cm/d or more if it can persuade factories to switch from diesel, LPG and furnace oil.

GAIL originally wanted to sell R-LNG to Hosur through a 879-km pipeline from the Kochi LNG terminal to Bangalore. But this plan was shelved after Tamil Nadu authorities ordered GAIL to stop pipeline laying work on March 25, 2013.

With a population of 300,000, Hosur sits on the Tamil Nadu border with Karnataka and is home to GAIL potential customers TVS Motor Company, Ashok Leyland, Titan Industries, Hindustan Motors and Hindustan Lever.

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