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"Right to Use" sharing agreement inked between NRL & IGGL

BNE ADMIN


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Guwahati: A momentous pipeline 'Right to Use (RoU)' sharing agreement was inked between Numaligarh Refinery Limited (NRL) and Indradhanush Gas Grid Limited (IGGL), which is a joint venture of NRL with Indian Oil Corporation (IOCL), Oil & Natural Gas Corporation (ONGC), Gas Authority of India Limited (GAIL) and Oil India Limited (OIL).

The agreement, a mutually beneficial arrangement for both organisations, was signed by General Manager (Project), NRL PJ Sarmah, and Chief Project Manager, IGGL Pankaj Patowary in the presence of Director (Technical), NRL BJ Phukan, Director (Finance), NRL Indranil Mitra, CEO, IGGL AK Thakur, and senior officials from both organisations.

NRL is in the process of laying the 1,630 km long Paradip Numaligarh Crude Pipeline (PNCPL), a crude pipeline originating from Paradip Port in Odisha, and traversing through West Bengal, Jharkhand and Bihar before terminating at its refinery in Numaligarh (Assam). The pipeline project is a crucial part of NRI's mega Integrated Refinery Expansion Project for capacity expansion from 3 MMTPA to 9 MMTPA, which is being executed with an investment of more than Rs 28,000 crore.

IGGL is executing the laying of a natural gas pipeline from Guwahati to Numaligarh as part of its marquee project for connecting India's North-east Region (NER) with the National Gas Grid. IG GL's natural gas pipelines will connect Guwahati to major cities of NER like Itanagar, Dimapur, Kohima, Imphal, Aizawl, Agartala, Shillong, Silchar, Gangtok, and Numaligarh. NRL and IGGL's pipeline sharing agreement leverages synergies between the PNCPL Project and NER Gas Grid Project as the pipelines share a common route from Baihata (North Guwahati) to Numaligarh for around 386 km. The RoU model streamlines land acquisition and resource sharing for optimal execution of pipeline laying work and subsequently, efficient operations of the pipeline.

This pact follows NRLs earlier pipeline RoU sharing agreement with GAIL for a 550 KM stretch from Purnia in Bihar to Baihata, also a part of the Pradhan Mantri Urja Ganga Project. These agreements form important milestones in the Government of India's Hydrocarbon Vision 2030 for Northeast India, which seeks to leverage the re- region's hydrocarbon potential for enhancing access to clean fuel in line with NER's growing demand for petroleum products, and also underline NRI's key role in ushering in the socio-economic development of the region.

BNE ADMIN