ONGC, GAIL to pick stake in China gas pipeline -Governance Now

ONGC, GAIL to pick stake in China gas pipeline

CCEA allows them to invest $ 1 billion

PTI | February 18, 2010

The government today permitted ONGC and GAIL to pick 12.5 per cent stake in a pipeline that China is building in Myanmar, and allowed them to invest $ 1 billion more in fields that will provide gas to be shipped to China through the pipeline.

The Cabinet Committee on Economic Affairs headed by Prime Minister Manmohan Singh allowed ONGC Videsh Ltd, the overseas investment arm of Oil and Natural Gas Corp, to invest $ 167.84 million in taking 8.35 per cent stake in the pipeline.

GAIL will invest USD 83.88 million for taking 4.17 per cent stake in the pipeline being constructed by China National Petroleum Corp (CNPC) to transport gas found in block A-1 and A-3 off the Myanmar coast, an official spokesperson said.

CNPC is building the USD 2.01-billion pipeline to ship gas from blocks A-1 and A-3, where OVL and GAIL India hold 17 per cent and 8.5 per cent stakes respectively, to China.

Gas from the blocks would be sold to China for USD 7.72 per million British thermal unit at the landfall point in Myanmar.

The block is operated by South Korea's Daewoo which holds 51 per cent. Daewoo, OVL, GAIL and Korea Gas, which has the 8.5 per cent, are investing USD 2.79 billion in three gas fields in Block A-1 and A-3 off the Myanmar coast and another USD 936.26 million in laying a separate under-se

Comments

Other News

Here’s an I.D.E.A. for career growth and success

Success in today’s professional organisation is no longer solely determined by academic qualifications, technical expertise or years of experience. While these attributes do matter, organisations increasingly value individuals who demonstrate the right mindset and behavioural qualities. The ability

PM interacts with CEOs, founders of space startups

Prime minister Narendra Modi interacted with CEOs and Founders of 20 Space Startups at Seva Teerth on Friday. CEOs of leading companies in the space sector working in diverse fields ranging from building rockets and reusable semi-cryogenic launch vehicles, avionics, satelli

From one cow to a dairy business

In 2012, Anita Dash wasn`t dreaming of building a dairy brand. She wasn`t studying business models or planning market expansion. Like countless mothers across India, her focus was on something much simpler: giving her children a better future. At the time, her most valuable

Ethanol blending: The two sides of a story

India`s crude oil consumption is estimated to be around 88.5% imported from abroad. This one single figure is also responsible for why ethanol has become both an economic strategy and fuel policy at the same time. In an economy like India, which depends so heavily on foreign oil, any increase in internat

Food inflation: Not a macroeconomic statistic but a developmental indicator

India`s retail inflation shows a reassuring picture at first glance. According to the latest data, Consumer Price Index (CPI) inflation edged up to 4.38% in June 2026 from 3.93% in May 2026, but continued to remain within the Reserve Bank of India`s (RBI) target band of 4% (+/- 2%). However, beneath this

Skin in the game or masterful market timing?

When a company founder opens their personal chequebook to buy shares in their own business, stock markets usually applaud. To the average retail investor, it feels like the ultimate vote of confidence, a sign that the people running the show have real skin in the game and believe brighter days are ahead.