GAIL acquires 9% equity stake in Dahej petrochem plant

09-Mar-09

Gas Authority of India Ltd (GAIL) has acquired a 9% equity stake in ONGC Petro additions Ltd (OPaL)’s petrochemical plant project coming up at Dahej in Gujarat. An additional stake is being considered for GAIL, in response to the PSU’s request for 19% stake. With this, almost 50% equity is tied up, hence several overseas investors who have shown interest in the project, have been refused. OPaL will use C2-C3 (ethane and propane) extracted from imported liquefied natural gas (LNG) to make polymers at the proposed plant.