GAIL Signs MoU with Shell Energy

Published on March 17, 2023
Current context: GAIL has collaborated with Shell Energy to develop the area of ethane sourcing. GAIL will import ethane from US to replace the natural gas and naphtha which are used in petrochemical plants. GAIL operates a network of pipelines spreading across the country.
GAIL Signs MoU with Shell Energy
  • GAIL is India’s largest gas utility company which signed an agreement with Shell Energy India private limited for exploring development in the infrastructure of ethane sourcing. GAIL has 68% of market share in gas transmission.
  • Ethylene is a starting material for certain products like packaging films, wires, bottles as well as plastics and synthetics.
  • The ship capacity of the ethane carrier of GAIL is considered to be 80,000 to 90,000 cubic meters. This will deliver from US ports to Dahej at Gujarat of Hazira in Gujarat or in Dabhol in Maharashtra.
  • GAIL has petrochemical plant located in Uttar Pradesh and will setup another one in Usar in Maharashtra.
  • The MoU will explore different aspects of import and handling of ethane for petrochemical plants, LNG for road transport, regasification of imported LNG and renewable.


Q.1 GAIL has collaborated with which company to develop the area of ethane sourcing?
b. Shell energy

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