IndianOil, Adani venture draws plan for ₹9,600-cr investments in city gas
IndianOil-Adani Gas Pvt Ltd (IOAGPL) will require a capital expenditure of about ₹9,600 crore for developing 10 geographical areas (GAs) for City Gas Distribution (CGD) projects.
IOAGPL is a 50:50 joint venture between IndianOil Corporation Ltd and Adani Gas Pvt Ltd.
In a notice to shareholders seeking their consent for the investment, IndianOil said, “During 2018-19, IOAGPL won 10 more GAs and development of CGD Project in these GAs would require capital expenditure of ₹9,600 crore (approximately) to meet the committed bid numbers. The funding required for capital expenditure has to be met from equity contribution / debt financing.”
IOAGPL has commissioned projects in eight geographical areas. These are Chandigarh, Allahabad, Panipat, Daman, Udhamsingh Nagar, Ernakulam, Dharwad and Bulandshahr. The South Goa GA will be commissioned shortly, IndianOil said.
