GAIL inks gas cooperation agreement with TIDCO

Subscribe to Oneindia News

New Delhi, June 6 (UNI) GAIL (India) Ltd, the country's largest natural gas transportation firm, has signed a gas cooperation agreement with Tamil Nadu Industrial Development Corporation (TIDCO) in order to give impetus to setting up of a CNG corridor in Chennai after Nagapattinam, Karaikal and Puducherry.

GAIL will conduct techno-economic feasibility study for gas demand in the industrial, commercial and transport sectors, a company statement said.

The agreement between the two firms will not be a joint venture but will facility steady supply of gas for industries and power plants in the state.

''We cannot give time frame on when the corridor would come into existence as the exploration and other related works are on,'' said a GAIL official.

He said the corridor would bring down pollution caused by oil-driven vehicles.

The growing demand for a 'cleaner' alternative fuel like CNG was also cited as a reason for setting up the corridor.

TIDCO had also recently announced the setting up of a petro-chemical project at an investment of Rs 6,000 crore by the government.

UNI SBA SR RAI2046

Please Wait while comments are loading...