Major oil PSUs join hands for laying world’s longest LPG pipeline

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Mr. SK Jha, CGM (Projects Gas), IndianOil; Mr. I Srinivas Rao, ED (LPG), BPC; and Mr. JS Prasad, ED (Pipelines), HPC, signed the joint venture agreement in the presence of Mr. Sanjiv Singh, Chairman (IndianOil); Mr. D. Rajkumar, C&MD, BPC; Mr. MK Surana, C&MD, HPC; and other Board members from the OMCs.

NEW DELHI: Indian Oil Corporation Ltd. (IndianOil), India’s leading marketer of oil & gas, is joining hands with other oil marketing companies (OMCs), Bharat Petroleum Corporation (BPCL) and Hindustan Petroleum Corporation (HPCL), for laying the world’s longest LPG pipeline from Kandla (Gujarat) to Gorakhpur (UP).

The 2,757-km cross-country pipeline will connect three major States with the west coast to reach LPG to 22 bottling plants of the three OMCs through the most economical and environment-friendly transportation mode.

A joint venture agreement to this effect was signed here last evening by Mr SK Jha, CGM (Gas), IndianOil; Mr. I Srinivas Rao, ED (LPG), BPC; and Mr. JS Prasad, ED (Pipelines), HPC; in the presence of Mr. Sanjiv Singh, Chairman (IndianOil); Mr. D. Rajkumar, C&MD, BPC; Mr. MK Surana, C&MD, HPC; and other Board members from the OMCs.

The Kandla-Gorakhpur LPG Pipeline, estimated to cost about Rs.10,000 crore, would be implemented by the Joint Venture Company of IndianOil with 50 per cent share, and BPCL, as well as HPCL with 25 per cent, share each.

The pipeline will source LPG from three import terminals on the west coast and two refineries (at Koyali and Bina) and supply LPG to 22 bottling plants of the three OMCs connected en route –  three in Gujarat, six in Madhya Pradesh and 13 in Uttar Pradesh.

In addition, the pipeline will supply LPG to 21 more bottling plants in Rajasthan, Gujarat, Madhya Pradesh, Maharashtra and Uttar Pradesh through road-bridging.

Once completed, the single pipeline can transport up to 8.25 million metric tonnes of LPG per year, which amounts to about 25% of India’s LPG demand.

Niwedieta For Smart GOV

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