Indian government-run natural gas retailing and distribution company GAIL Gas Limited and Steel Authority of India Limited (SAIL) has inked an agreement for supply of industrial piped natural gas (PNG) to latter’s Rourkela Steel Plant (RSP) aimed at promoting clean energy, a joint statement of the companies said on Friday, May 22.
Under the agreement, GAIL Gas Limited will supply industrial PNG with a Daily Nominated Quantity (DNQ) of 8,000 standard cubic meters per day (SCMD).
The natural gas will be used in iron fabrication processes at RSP helping improve operational efficiency, energy sustainability and emission reduction, the statement said.
By replacing conventional fuels with industrial PNG, the project is expected to reduce carbon emissions, improve fuel efficiency, support sustainability targets and encourage cleaner industrial growth, it added.