GAIL Revises Completion Timelines for Key Pipeline Projects, Adds ₹4.11 Billion to MNJPL Budget

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GAIL (India) Ltd (NSE: GAIL.NS) has published revised completion schedules for two of its largest pipeline infrastructure projects—the Srikakulam–Angul Pipeline and the Mumbai–Nagpur–Jharsuguda Pipeline (MNJPL). The company also announced an additional financial impact of ₹4.11 billion for the MNJPL project, as a result of execution delays and cost overruns.

1. Srikakulam–Angul Pipeline Update

The 745 km pipe line (423 km mainline + 322 km spur) was originally due for completion by September 2024.
GAIL has now pushed the schedule to June 2025, with mainline gas-readiness by December 2024.
The delay is on account of pending forest clearance of a 56 km stretch of the spur line.

2. MNJPL Project Timeline & Cost Revision

The deadline for completion of the Mumbai–Nagpur–Jharsuguda Pipeline (MNJPL) has been pushed to September 30, 2025, from the initial deadline.
GAIL has provided for a further cost overrun of ₹4.11 billion, on account of inflation in material costs, delay in land acquisition, and contractual changes.

3. Strategic Implications

These pipelines are significant in expanding India's natural gas infrastructure, making access to cleaner fuel easier in industrial and urban agglomerations.
Despite the delays, GAIL promises early commissioning and long-term energy infrastructure building.

Sources: MarketScreener, Rediff Money, GAIL Official Website