GAIL to reduce equity stake in ONGC's project at Dahej.

State-run gas utility GAIL India will cut its equity stake in ONGC's mega petrochem project at Dahej to 11.6 % as project faces major cost overrun. GAILBSE 0.13 % had in 2008-09 picked up 19 per cent stake in ONGCPetro-additions Ltd. (OPaL), which is building a mega petrochemical complex at Dahej in Gujarat.

The 1.1 million tonnes plant was at that time estimated to cost Rs. 12,440 crore. But since then the project cost has been revised thrice upwards - first to Rs. 15,870 crore in end 2008, then to Rs. 19,535 crore in June 2010 and now to Rs. 21,396 crore.


ET