GAIL set to re-tender Dahej to Uran gas pipeline

Vol 9, PW 7 (14 Jul 05) News in Brief

GAIL is expected to launch a new tender later this month for the long pending and controversial Dahej to Uran gas pipeline.

An earlier tender floated more than a year ago was abandoned amid confusion over the type of pipe to be used and allegations of corruption. We understand this tender will not be restricted to either LSAW or HSAW type pipes but will be open to both.

Another important change is that Punj Sons will be eligible to bid. GAIL barred Punj Sons during the previous tender.

Also new is that the pipeline will bypass the Hazira LNG terminal promoted by Shell and Total and will carry only regassified LNG from Dahej to Uran near Mumbai. Since Hazira is not on the route, the pipeline length will only be about 400-km and the pipeline diameter will be 30-inch and 24-inch.

Only Indian companies such as Welspun, MAN, Saw Pipes and Punj Sons are likely to bid given the need to set up coating facilities along the route.