While IOC will take 38 per cent, GAIL will pick 11 per cent stake in the proposed 5-million tonne a year liquefied natural gas (LNG) import terminal at Dhamra by financial year 2018-19.
Sources said a formal agreement signing ceremony is planned on Wednesday where Oil Minister Dharmendra Pradhan, who also hails from Odisha, will also be present.
GAIL too had signed up for 1.5 million tonnes of the terminal's regassification capacity.
Equity in the Adani terminal follows GAIL dropping plans in March last year to set up a floating LNG import terminal at Paradip. IOC too had in 2012 signed an memorandum of understanding (MoU) with Dhamra LNG Port Corp (DPCL) to develop an LNG terminal at the port.
Dhamra will be the sixth LNG project announced on the east coast. While GAIL has dropped plans of a 4-mt project at Paradip, Petronet LNG, a firm in which GAIL and IOC are promoters, has shelved plans to set up a 5-mt a year LNG import facility at Gangavaram in Andhra Pradesh.
With GAIL, which owns and operates bulk of the nation's cross-country pipelines, and IOC, whose refineries are a big user of gas, joining Dhamra, the fate of LNG terminals in Andhra Pradesh is uncertain. Dhamra can meet all of the demand in Odisha and Andhra Pradesh.
Dhamra port in Bhadrak district of Odisha is an all- weather deep water port, sources said.
GAIL in October 2013 had signed an MoU with the Paradip Port Trust for setting up of the LNG import terminal. While the port was to invest Rs 650 crore in breakwater and dredging, GAIL was to invest Rs 2,458 crore for the 4-mt terminal which can be expanded to 10 mt. The plan was, however, dropped in March last year.