GAIL (India) Ltd , a major player in the Indian energy sector, has recently taken a significant step in support of Talcher Fertilizer Limited (TFL), a joint venture company established in 2015. The move involves the execution of a Sponsor Support Undertaking (SSU) as part of securing a substantial Rupee Term Loan Facility for TFL.

Key Details of the Transaction

Implications for GAIL

GAIL has clarified several important points regarding this transaction:

1. No Guarantor Status: GAIL emphasized that it is not the guarantor of the loan facility.
2. Financial Impact: The company stated that there are no financial implications for GAIL as a result of this undertaking.
3. Transaction Nature: The deal has been conducted at arm's length, ensuring fairness and transparency.

About Talcher Fertilizer Limited

TFL is a joint venture incorporated in 2015, bringing together four major entities:

• GAIL (India) Ltd
• Coal India Ltd
• Rashtriya Chemicals & Fertilizers Ltd
• Fertilizer Corporation of India Limited

The primary objective of this joint venture is to revive FCIL's fertilizer unit by establishing a coal gasification-based fertilizer plant in Talcher.

Regulatory Compliance

This disclosure by GAIL is in compliance with the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015. Specifically, it adheres to Regulation 30 [Clause 11 of Para B of Part A of Schedule III] of these regulations.

The execution of the Sponsor Support Undertaking by GAIL and other promoters of TFL marks a crucial step in securing the significant loan facility for TFL. While GAIL's involvement is substantial, the company has been clear about the nature of its commitment, emphasizing the absence of direct financial implications and its non-guarantor status in this arrangement.

GAIL (India) Limited , the country's largest natural gas company, has taken a significant step towards sustainable energy production by signing a long-term agreement for a compressed bio-gas (CBG) plant in Bengaluru. This move aligns with India's growing focus on renewable energy sources and waste management.

Key Details of the Agreement

Project Highlights

The agreement marks a substantial commitment to sustainable energy production and efficient waste management in Bengaluru. The compressed bio-gas plant is designed to process a significant amount of waste daily, converting it into valuable energy and organic manure.

Environmental Impact

This initiative by GAIL (India) demonstrates a dual benefit:

1. Waste Management: The plant will process 300 tons of waste per day, contributing to improved urban waste management in Bengaluru.

2. Green Energy Production: The daily output of 12.60 tons of compressed bio-gas will serve as a renewable energy source, potentially reducing reliance on fossil fuels.

Agricultural Benefit

In addition to energy production, the plant will generate 22.00 tons of fermented organic manure (FOM) daily. This by-product can be utilized in agriculture, promoting organic farming practices and potentially improving soil health in the region.

Long-term Commitment

The 25-year duration of the agreement underscores GAIL's long-term vision for sustainable energy solutions. This project could serve as a model for similar initiatives across India, combining waste management with renewable energy production.

As India continues to explore and invest in alternative energy sources, projects like this CBG plant could play a crucial role in the country's energy transition and environmental sustainability efforts. The success of this venture may pave the way for more such collaborations between public sector enterprises and local authorities in the pursuit of cleaner, greener cities.