GAIL (INDIA) informed that it has signed memorandum of understanding (MoU) with AM Green B.V. (AMG) to explore projects aimed at advancing sustainable energy solutions in India.
The partnership will focus on the long-term supply of carbon dioxide (CO2) for eMethanol production and the exploration of hybrid renewable energy projects across India.
According to the terms of the MoU, both companies will conduct studies for the long-term supply of around 350 KTA of CO2 generated by GAILs gas processing plants to produce eMethanol, an environmentally friendly fuel that can reduce carbon emissions and promote a circular economy.
Under the agreement, GAIL will also have the option to invest equity in the proposed eMethanol project. Additionally, both parties plan to explore the establishment of solar and wind hybrid renewable projects totaling up to 2.5 GW across India. These hybrid projects, in conjunction with Greenkos upcoming Pump Storage Projects, are expected to provide round-the-clock power to end users, including the proposed eMethanol project.
Rajeev Singhal, Director (business development), GAIL said The signing of this MOU with AM Green underscores our commitment to pioneering sustainable energy solutions. By facilitating the supply of CO2 for eMethanol production, we are taking a proactive approach to reduce carbon emissions and support alternative fuel development.
Development of renewable energy projects will support reducing carbon footprint of the country and advancing India’s transition to a greener energy landscape. The partnership between GAIL and AMG is set to augment technological innovation in India while also promoting economic growth and environmental sustainability.
Mahesh Kolli, group president of AM Green, said We are delighted to partner with GAIL on one of the worlds largest carbon-free, renewable energy supply contracts. This partnership demonstrates AM Greens emerging leadership position as a global clean energy transition solutions platform while contributing to Indias ambition of emerging as an exporter of reliable, sustainable and lowest-cost green molecules and its derivatives accelerating industrial decarbonization globally. The production of green methanol shall also help in decarbonization of hard to abate sectors like shipping, steel, cement etc.
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 June 2024.
GAILs consolidated net profit jumped 77.54% to Rs 3183.35 crore in Q1 FY25 as compared with Rs 1792.99 crore in Q1 FY24. Revenue from operations (excluding excise duty) increased 5.94% YoY to Rs 34,737.77 crore during the quarter.
Shares of GAIL (India) slipped 2.87% to end at Rs 223.75 on the BSE.
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First Published: Oct 07 2024 | 3:35 PM IST
