Gail Net Profit Up 32% To Rs 1,565 Cr

New Delhi, April 2: | Updated: Apr 3 2003, 05:30am hrs
Gail India Ltd has reported a 32 per cent increase in its net profit at Rs 1,565 crore and has chalked out ambitious plans of investing Rs 20,000 crore over the next five years.

Announcing the financial results, Gail chairman and managing director Prashanto Banerjee said, the net profit has surged by 32 per cent from Rs 1,186 crore in 2001-02, while the turnover increased by 11 per cent to Rs 11,763 crore as compared to Rs 10,553 crore during 2001-02.

Mr Banerjee said the increased turnover was due to hike in volumes of gas handled from KG basin fields, increase in polymer and LPG sales, LPG handling through the Jamnagar-Loni LPG pipeline system and sales of other liquid hydrocarbons.

He said the impressive gains had been on account of various factors including increase in net profit, revenue, LPG production, capacity utilisation of petrochemical plant and projects worth Rs 7,000 crore which were underway.

Gail board had approved the Rs 647 crore UPPC expansion project for increasing the ethylene capacity to 4,40,000 tpa from 3,00,000 tpa with additional cracking furnace. Gail would increase the polymer capacity to 4,30,000 tpa with a new LLDPE/HDPE swing plant and as part of a strategic initiative, it had entered into a product swapping agreement with Haldia Petrochemcials for polyethylens and polypropylens, added Mr Banerjee.

Gas throughput was 62.69 mmscmd during 2002-03 as against 61.60 mmscmd in the previous year and total liquid hydrocarbon production, including lpg, was over 1.31 million mt as compared to 1.13 million mt in 2001-02, an increase of 16 per cent, he said.

LPG transmission through pipeline was over 1.5 million mt in 2002-03 as compared to 1.31 million mt in the previous year. Gail sold 2.90 lakh tonne of polymer as against 2.51 lakh tonne in 2001-02, apart from exporting 59,725 tonne of polymer during 2002-03.

Mr Banerjee said for creating a national green quadrilateral of pipeline network for a clean energy corridor through the national gas grid, gail would execute a scheme that covered Kakinada-Kolkata, Kakinada-Uran, Kakinada-Chennai, West Bengal-Jagdishpur, Bangalore-Chennai, Dabhol-Bangalore and Kochi-Mangalore-Bangalore sectors.

Board approval has already been obtained for pre-project activities and route survey has been carried out for all the sectors, he said.

On the telecom sector, Banerjee said Gailtel, which was operating a 4,200 km OFC-based network with 10 GB transmission capacity and covering 37 major cities, was in the process of consolidating its position in the North-western part of the country.

At the end of phase-II project, Gailtel network cell will have a coverage of 8,000 km, interconnecting 73 cities in the northern, western and southern parts of India, the cmd said.

On it initiatives, he said the process of implementing ERP was underway and steps were taken for the E-banking, E-receivables and E-payments to reduce operating cycle time and cost.