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SAURABH SAHU

9th Jul 2025 · SEBI-Registered Analyst

### **GAIL and OIL Ink 15-Year Gas Supply Deal from Rajasthan Fields**

**New Delhi, July 9, 2025** — GAIL (India) Ltd. has signed a 15-year Gas Sale and Purchase Agreement (GSPA) with Oil India Ltd. (OIL), ensuring continued supply of up to **900,000 SCMD (Standard Cubic Meters per Day)** of natural gas. The gas will be sourced from OIL’s **Bakhri Tibba Block** in Rajasthan, covering Dandewala, Tanot, and Bagi Tibba fields, starting **July 1, 2025**. This long-term arrangement underscores the collaboration between two Maharatna CPSEs to boost domestic energy production and infrastructure. The supplied gas will cater to the **State-run power plant operated by Rajasthan Rajya Vidyut Utpadan Nigam Limited (RRVUNL)**. GAIL, India’s largest natural gas transmission and marketing company, operates over **16,421 km of pipeline** and handled more than **127 MMSCMD** of gas in FY24-25. It also maintains significant infrastructure in LNG imports, city gas distribution, and petrochemicals, and is diversifying into **renewables** like solar, wind, and biofuels. This deal is a strategic step towards **strengthening energy security and accessibility** through optimal utilization of domestic gas assets.

GAIL
MOIL

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