The supply deal for up to 900,000 SCMD of natural gas from Oil India’s Rajasthan fields to GAIL is set to boost domestic production, streamline transportation, and expand distribution, reinforcing energy security and improving access.
India’s largest natural gas supplier GAIL India and Oil India Ltd have extended their existing gas sale and purchase agreement by another 15 years.
Effective 1 July 2025, the agreement enables the supply of up to 900,000 standard cubic metres per day of natural gas from Oil India’s Bakhri Tibba Block in Rajasthan, covering the Dandewala, Tanot and Bagi Tibba fields.
The agreement was executed in New Delhi by Sumit Kishore, Executive Director for Gas Marketing at GAIL, and Ranjan Goswami, Executive Director for Business Development at Oil India.
According to GAIL, this partnership between the two state-owned enterprises will facilitate the production, transportation and distribution of natural gas from domestic fields, reinforcing energy security and improving accessibility.
The sourced gas will be supplied to the state-run power plant operated by Rajasthan Rajya Vidyut Utpadan Nigam.
GAIL currently owns and operates a 16,421-kilometre network of natural gas pipelines spanning across India, transmitting over 127 million standard cubic metres of natural gas per day in FY2025. It is also concurrently implementing multiple pipeline projects to enhance and expand its nationwide network.