Gujarat State Petronet Ltd, a subsidiary of
Gujarat State Petroleum Corporation
Ltd, is expecting to achieve financial
closure for the 1,670-km Mehsana
(Gujarat)-Bhatinda (Punjab) gas grid project
in January 2012. The project, estimated
3,500 crore, is being implemented
by a special purpose vehicle, with 52 per
cent stake of GSPL.
In addition to the natural gas sources in
Mehsana, the proposed trunk pipeline will
also connect the LNG terminals of Petronet
LNG (Dahej) and Shell (Hazira) and others
through the existing Dahej-Vijaipur
Pipeline operated by GAIL (India) Ltd.
IndianOil has a 20 per cent participatory
interest in the project, while BPCL and
HPCL have 11 per cent each.
The company has already transferred
nearly 400 km of distribution network to
GSPC Gas and is planning to add another
1,000 km of transmission network.
The Mehsana-Bhatinda segment is one
of three lines of the total 4,000-km grid
connecting the KG basin's natural gas
sources at Mallavaram in Andhra
Pradesh to Srinagar in J&K, which were
auctioned by the Petroleum and Natural
Gas Regulatory Board.
The GSPL-led consortium owns the right
to construct and operate the Mallavaram-
Vijaipur (Madhya Pradesh) connecting
DVPL, Mehsana (Gujarat)-Bhatinda (Punjab),
and Bhatinda-Srinagar (J&K) lines. Of
these projects, the Mehsana-Bhatinda and
Bhatinda-Jammu sections have been put
into one SPV and the Mallavaram-Vijaipur
project will be under a separate SPV.
The total estimated cost of all three