Long-Term Pact: GAIL to Buy 900,000 SCMD from Oil India’s Rajasthan Fields

Oil India and GAIL Extend Gas Sale Pact for 15 Years Agreement Highlights Signed on July 9, 2025, effective July 1, 2025, Oil India Limited (OIL) and GAIL (India) Limited extended their Gas Sale and Purchase Agreement for 15 years. Under the pact, GAIL will purchase up to 900,000 standard cubic meters per day (SCMD) of natural gas from OIL’s Rajasthan fields (Dandewala, Tanot, Bagi Tibba). The deal was formalized in New Delhi by Ranjan Goswami (ED, Business Development, OIL) and Sumit Kishore (ED, Gas Marketing, GAIL). Strategic Significance Extending this long-term agreement reinforces the collaboration between two Maharatna CPSEs, bolstering India’s domestic gas availability, reducing import reliance, and advancing national energy security goals3. Operational Details Gas will flow from OIL’s Rajasthan fields through GAIL’s 16,421 km transmission network to Rajasthan Rajya Vidyut Utpadan Nigam Limited (RRVUNL) power plants. This direct supply chain ensures reliable fuel for power generation in the region. Financial Snapshot Metric GAIL (India) Ltd Oil India Ltd Q4 FY25 Net Profit ₹2,491.76 Cr ₹1,310.10 Cr Q4 FY25 Revenue ₹36,551.15 Cr ₹9,587.82 Cr Share Price (09/07/25) ₹185.05 ₹445.30