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IOC, Adani Gas to pump Rs 9,600 cr in city gas distribution projects

Tuesday, 30 Jul 2019
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The Indian Oil Corporation (IOC) and its partner Adani Gas will make an investment of Rs 9,600 crore in rolling out infrastructure for retailing CNG to automobiles and piped natural gas to household kitchens.

The two companies will make the investment in 10 cities for which they recently won licences for. The two firms in 2013 had incorporated a 50:50 joint venture (JV) company, IndianOil-Adani Gas (IOAGPL), for implementation of city gas distribution (CGD) projects in various cities in the country.

Currently, projects in eight geographical areas (GAs) have been commissioned (Chandigarh, Allahabad, Panipat, Daman, Udhamsingh Nagar, Ernakulam, Dharwad, and Bulandshahr) and South Goa GA will be commissioned shortly. The funding required for capital expenditure has to be met from equity contribution/debt financing.

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