State-owned gas utility GAIL (India) Ltd has signed an agreement with US-based biofuel producer Petron Scientech Inc to jointly explore the establishment of a 500 kilotonnes per annum bio-ethylene plant in India.
According to a statement from GAIL, the Memorandum of Understanding (MoU) outlines the development of the bio-ethylene plant using bioethanol, under a 50:50 joint venture between the two companies. GAIL, India’s largest natural gas transportation and marketing company, will collaborate with Petron, which specializes in biorefinery projects that process biomass and grains to produce biofuels and bio-chemicals such as ethanol, bio-ethylene, ethylene oxide, mono-ethylene glycol, and methanol.
The MoU sets the stage for GAIL and Petron to conduct feasibility studies assessing the technical and financial viability of the project. Both companies aim to secure management approval to invest in the project and establish the joint venture.
The agreement was signed by Sumit Kishore, GAIL’s Executive Director of Business Development and Exploration & Production, and Yogi Sarin, CEO of Petron, in the presence of Rajeev Kumar Singhal, Director of Business Development at GAIL.
Commenting on the partnership, Singhal stated, “We are excited to enter into this strategic alliance with Petron, a pioneer in bio-ethanol-to-bio-ethylene technology. This MoU marks a significant step toward promoting sustainable practices and advancing India’s bio-economy. The combined strengths of GAIL and Petron will drive technological innovation, economic growth, and environmental sustainability in India.”