GSPC Gas begins first gas supplies to Vapi

Vol 10, PW 25 (19 Apr 07) News in Brief

GSPC’s retail gas subsidiary GSPC Gas has beaten rival BG-owned Gujarat Gas to begin first supplies of Piped Natural Gas to Gujarat’s Vapi town, where both companies have a licence to operate.

First PNG supplies to Vapi, known for its paper, chemical and textile factories, began on (Thursday) 19th April. GSPC Gas expects to sell around 200,000 cm/d at Rs12.50 per cubic metre to local factories through a 25-km pipeline of which 12-km has already been laid.

Most of the gas will be a mixture of R-LNG and domestic gas sourced from parent company GSPC, transported up to the Vapi â€کcity gate’ by the pipeline network of Gujarat State Petronet. Gujarat Gas, however, is still talking to Gujarat State Petronet for permission to transport its gas to Vapi with â€کtechnical issues’ holding up agreement.

Gujarat Gas tells us it has readied 17-km of pipeline to supply PNG to industrial customers at Vapi, which it will sell at Rs11.50 per cubic metre, slightly less than GSPC Gas.

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