Oil India inks 15-year gas pact with NEEPCO; completes Numaligarh–Siliguri pipeline upgrade

OIL signs a 15-year, 1.4 MMSCMD gas supply pact with NEEPCO for Bokuloni and achieves mechanical completion of the NSPL upgrade
Alt="OIL"
Oil India inks 15-year gas pact with NEEPCO; completes Numaligarh–Siliguri pipeline upgradePSU Watch
Published on

New Delhi: Oil India Limited (OIL) has signed a firm 15-year Gas Sale and Purchase Agreement with North Eastern Electric Power Corporation (NEEPCO) to supply 1.4 MMSCMD of natural gas to the Assam Gas Based Power Station (AGBPS) at Bokuloni, Dibrugarh. The new term succeeds an earlier 10-year arrangement, reinforcing OIL’s confidence in its reserve base and ability to ensure sustained domestic gas supply to the region.

PSU Watch is now on Whatsapp Channels. Click here to join

Pipeline upgrade hits mechanical completion

In a parallel development, OIL announced mechanical completion (on 12 October 2025) of the Numaligarh–Siliguri Product Pipeline (NSPL) upgradation, a flagship midstream project that raises capacity from 1.72 MMTPA to 5.5 MMTPA. The upgrade—spanning Assam and West Bengal with five pump stations and one receipt terminal—is designed to handle increased product flows tied to the Numaligarh Refinery expansion from 3.0 to 9.0 MMTPA.

Alt="OIL"
OIL, NEEPCO ink pact for gas supply to power station in Assam

Regional energy security and system readiness

OIL said the extended gas supply to NEEPCO’s AGBPS—Assam’s largest gas-based plant—supports the North-East’s power needs and strengthens regional energy security. The NSPL capacity enhancement, meanwhile, aligns midstream readiness with the Numaligarh Refinery expansion, improving evacuation capacity and operational flexibility for rising product volumes from the North-East hub.

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)

logo
PSU Watch
psuwatch.com