Gujarat State Petronet (GSPL) and Reliance Industries have signed a gas transportation agreement to transport 11 mmscmd of natural gas from Bhadbhut in Bharuch to RIL's refinery and petrochemical complex in Jamnagar.

Under the agreement, RIL has an option to increase the volume of gas up to 14 mmscmd. RIL will transport portion of its KG Gas from Kakinada through its East-West Pipeline and deliver the same to GSPL at Bharuch. For transportation of gas, GSPL will use its existing pipeline and develop new pipelines between Bharuch to Hadala and Rajkot to Jamnagar.

The transportation of gas shall commence by June 2008. The agreement is valid for a period of 15 years from the start date.

Similarly, Gujarat State Petroleum Corporation (GSPCL) has signed Gas Transportation Agreement with Reliance Gas Transmission & Infrastructure (RGTIL) for transporting 3.5 mmscmd of natural gas from its KG basin discovery at Kakinada in Andhra Pradesh to Gujarat. As per this agreement, GSPC has an option to increase the volumes of gas upto 11 mmscmd. For transportation of gas from Kakinada to Gujarat, RGTIL is developing a pipeline between Kakinada and Bharuch.

The transportation of gas shall commence as soon as GSPC starts the production of gas from its KG basin. This agreement also has validity period of period of 15 years from the start date.