This collaboration marks a pivotal development in the efforts to bring the PTA plant back into production. The original agreement with INEOS was executed by JBF Petrochemicals (JBF), which could not be realized due to insolvency proceedings. Following GAIL's acquisition of JBF through the Corporate Insolvency Resolution Process (CIRP) under the National Company Law Tribunal (NCLT) in June 2023, the company is now working to overcome the legacy challenges and ensure the plant’s successful on-streaming and long-term operational stability, it added.
The amended agreement with INEOS signed yesterday is expected to enhance the plant's operational efficiency, align production capabilities with market demand, and contribute to India’s vision of self-reliance as part of the Government of India’s Atmanirbhar Bharat initiative. INEOS Group is a global manufacturer of petrochemicals, speciality chemicals and oil products.
Speaking on the occasion, Chairman, GMPL and GAIL Director, Ayush Gupta said, “Through this strategic partnership and renewed focus, GAIL aims to position GMPL as a key player in the domestic PTA market while supporting the country’s growth in petrochemical manufacturing.”
GAIL Director (BD) R.K. Singhal said, “The successful realization of this project is expected to have a positive impact by reducing country’s import burden and strengthen India’s manufacturing capabilities in the petrochemical sector.”
GAIL (India) is the largest state-owned natural gas processing and distribution company in India. The Company has a diversified business portfolio and has interests in the sourcing and trading of natural gas, production of LPG, Liquid hydrocarbons and petrochemicals, transmission of natural gas and LPG through pipelines, etc. GAIL has also participating interest in India and overseas in Oil and Gas Blocks. The Government of India holds 51.92% in the paid-up equity capital of the company as on 30 September 2024.
The company’s consolidated net profit increased 10.13% to Rs 2,689.67 crore on 2.7% rise in revenue from operations (excluding excise duty) to Rs 33,888.90 in Q2 FY25 over Q2 FY24.
Shares of Gail (India) rose 0.74% to currently trade at Rs 196.45 on the BSE.