GAIL, Coal India Form JV for Natural Gas Infrastructure Project
28 Mar 2025
2 Min Read
CW Team
GAIL (India) and Coal India have announced the formation of a joint venture to develop a coal-to-synthetic natural gas (SNG) project in the eastern coalfields. The initiative will be undertaken through a newly established subsidiary named Coal Gas India.
Both state-owned Maharatna companies disclosed the development through separate exchange filings on 25 March. Coal Gas India Limited has been set up with an authorised share capital of Rs 110 million and an initial paid-up capital of Rs 1 lakh. Of this, Coal India has contributed Rs 51,000, while GAIL has contributed Rs 49,000.
The Ministry of Corporate Affairs has issued the certificate of incorporation for Coal Gas India, formally registering the entity under Indian corporate laws. The shareholding structure reflects Coal India鈥檚 majority stake with 5,100 equity shares, each valued at Rs 10, and GAIL鈥檚 holding of 4,900 equity shares of the same value. This gives Coal India a 51 per cent ownership in the joint venture, with GAIL holding the remaining 49 per cent.
The primary objective of the joint venture is to implement the coal-to-SNG project and facilitate the utilisation of the synthetic gas produced, aligned with prevailing market conditions. This project is expected to contribute to India's energy diversification efforts and reduce reliance on traditional fossil fuels.
On the day of the announcement, share prices of both companies declined. Coal India's stock dropped by 1.84 per cent, closing at Rs 398.40, marking its second consecutive day of losses. Meanwhile, GAIL India鈥檚 share price fell by 2.07 per cent to Rs 177.55, ending its five-day winning streak.
News source: Business World
GAIL (India) and Coal India have announced the formation of a joint venture to develop a coal-to-synthetic natural gas (SNG) project in the eastern coalfields. The initiative will be undertaken through a newly established subsidiary named Coal Gas India.
Both state-owned Maharatna companies disclosed the development through separate exchange filings on 25 March. Coal Gas India Limited has been set up with an authorised share capital of Rs 110 million and an initial paid-up capital of Rs 1 lakh. Of this, Coal India has contributed Rs 51,000, while GAIL has contributed Rs 49,000.
The Ministry of Corporate Affairs has issued the certificate of incorporation for Coal Gas India, formally registering the entity under Indian corporate laws. The shareholding structure reflects Coal India鈥檚 majority stake with 5,100 equity shares, each valued at Rs 10, and GAIL鈥檚 holding of 4,900 equity shares of the same value. This gives Coal India a 51 per cent ownership in the joint venture, with GAIL holding the remaining 49 per cent.
The primary objective of the joint venture is to implement the coal-to-SNG project and facilitate the utilisation of the synthetic gas produced, aligned with prevailing market conditions. This project is expected to contribute to India's energy diversification efforts and reduce reliance on traditional fossil fuels.
On the day of the announcement, share prices of both companies declined. Coal India's stock dropped by 1.84 per cent, closing at Rs 398.40, marking its second consecutive day of losses. Meanwhile, GAIL India鈥檚 share price fell by 2.07 per cent to Rs 177.55, ending its five-day winning streak.
News source: Business World
Next Story
Inspira Realty Plans 8-10 Redevelopment Projects in Mumbai
Inspira Realty, a leading Mumbai-based developer and a part of Inspira Global, has announced plans to undertake 8鈥�10 new redevelopment projects across the city鈥檚 key western and southern corridors. With this expansion, the firm is poised to exceed its current Gross Development Value (GDV) of Rs 40 billion and drive forward its urban transformation agenda. The company has commenced the financial year with two development agreements signed in Borivali and Santacruz (W) and is actively negotiating further acquisitions. These projects, expected to span a construction area of 4 million sq ..
Next Story
U-Sphere Bags First Private Project with Ceenex in Thiruvananthapuram
U-Sphere, the high-tech construction arm of ULCCS, has secured its first major private sector project: the design and construction of a new training facility for Canada-based Ceenex Global Computer Private Limited in Sasthamangalam, Thiruvananthapuram. The agreement was signed by Remeshan Palery, Director, U-Sphere, and Muhammed Irfan, Director, Ceenex Global. As part of the project, U-Sphere will deliver the core structural framework and building envelope within a fast-tracked seven-month schedule. This facility will serve as a key hub for Ceenex鈥檚 initiatives across e-governance, heal..
Next Story
Godrej Motor Solutions Targets Rs 10 billion Revenue by FY28
The Motor Solutions business of the Godrej Enterprises Group is aiming for Rs 10 billion in revenue by FY28, with 20 per cent of this expected from exports. For FY26, the business is targeting Rs750 crore, driven by demand growth across electric vehicles (EVs), HVAC, pumps, and actuators in both domestic and international markets. Xercsis Marker, EVP & Head, Motor Solutions Business, Godrej Enterprises Group, said, 鈥淲e are strengthening our manufacturing capabilities through significant R&D investments and advanced technology adoption. We continue to invest in t..
