GAIL begins operation at 5-million tonne import facility of the Dabhol

GAIL begins operation at 5-million tonne import facility of the DabholIndia's State-run, GAIL has made its 5-million tonne a year import facility of the Dabhol power plant operational and is now looking into opportunities in shipping.

GAIL hinted that it is considering starting shipping operations in order to capitalize on the long term contracts with parties in Spain and the US. GAIL might be planning to acquire seven liquid gas shipping vessels on hire or outright purchase for its shipping venture.

Company chairman B C Tripathi announced that the company is aiming to double the capacity of the facility to about 10 million tonnes per annum during the period of four years with an investment of about Rs 3,000 crore. The facility will then to able to rival Petronet's Dahej terminal in capacity. He also said that the import terminal would be a gateway for imported gap for southern and western parts of the country.

The Dabhol plant is a Ratnagiri Gas & Power Pvt Ltd, which is a joint venture between GAIL and NTPC, a state run power major. GAIL had earlier acquired gas cargo for commissioning the terminal in December at a price of $17 per unit and the imported gas makes up 40 per cent of natural gas consumption in the country.