Gail Inks Long-Term Gas Sale Contract

The Gas Authority of India Limited (GAIL) yesterday signed a long-term gas sale contract under a production-sharing contract between the Ravva joint venture consisting of Command Petroleum (India) Ltd, Videocon Petroleum Limited and Ravva Oil (Singapore) Limited the ONGC and the Union government for exploration and development of the Ravva oil and gas fields in the Krishna-Godavari Basin.

The contract has been signed to receive 7,00,000 standard cubic metres per day (SCMD) of gas at a land fall point at Suryasainayam and for further transportation through the eight-inch nine-km-long pipeline connecting the existing Tatipaka-Kakinada trans-pipeline.

This is the first time that Gas Authority of India Limited is obtaining gas from a supply source other than public sector companies like Oil and Natural Gas Corporation and OIL.

 

The available gas from Ravva would be supplied to consumers in the area who have already gone into operation.

Provision has been made in the contract to ensure the quality of gas for Gas Authority of India Limited as well as downstream consumers.