Gas transporter GAIL (India) Ltd plans to invest Rs 180 billion ($4.1 billion) over the next five years in new pipeline projects across India, Chairman U D Choubey said on Friday.
The investment would boost revenues to Rs 58 billion by 2011/12 from 20 billion in the current year, he said.
The state-run company will build new pipelines totalling 5,000 km (3,100 miles) to enhance GAIL's gas transportation capacity to 280 million standard cubic metres per day (mmscmd) from the current 145 mmscmd, he said.
"With increase in usage of natural gas, we need to build an infrastructure to meet the demand," he said at a news conference.
India produces 95 mmscmd of gas and the government expects this to rise to more than 190 mmscmd by 2009.
Choubey said the company would go to the market to fund the expansion. "Details are being worked out," he said. It was not immediately clear whether it would be equity, debt or a combination of both.
GAIL, India's largest gas distribution firm, currently has a 6,000 km pipeline network that transports up to 80 mmscmd of gas to power plants and industries.
Shares in GAIL were up 2.2 per cent at Rs 269.70 in a firm Mumbai market.
