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Home  >>  Daily News  >>  Myanmar News  >>  Energy  >>  India's state firm may join Myanmar gas pipeline project

9 September 2009
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India's state firm may join Myanmar gas pipeline project

Indian state-run gas transporter GAIL is exploring possibility to lay a pipeline to China from Myanmar, where it has 10 percent stake in two blocks, Reuters reported, quoting the firm's chairman.

"There is a proposal from KOGAS and Daewoo (other stakeholders) to lay a pipeline from west of Myanmar to east of China, but a final decision may take some time because we have to see return on investment also," B.C. Tripathi told reporters.

In a related report carried by Hindu Business Line, Tripathi said, “We have received a proposal from South Korean companies (Daewoo International Corp and Korea Gas Corp) for joining the project. We are examining the prospects.”

The pipeline may cost $1.5 billion. Daewoo International holds 51 percent operating interest in the two offshore Myanmar blocks — A1 and A3. Korea Gas Corp (8.5 percent), GAIL (8.5 percent), ONGC Videsh Ltd (17 percent), and Myanmar Oil & Gas Enterprise (15 per cent) are the other stakeholders. Myanmar had decided to sell gas from this field to China.

The 890-km pipeline is likely to be built through a separate consortium. If GAIL decides to participate in the pipeline project, it may like to go through with its joint venture with China Gas, the GAIL Director (Finance), RK Goel, said.


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