Pipe manufacturer PSL Ltd today said it has bagged an order worth around Rs 500 crore ($94 million) from GAIL India for supply of steel linepipe for the Dahej-Vijaipur Pipeline Upgradation Project (DVPL-II).
The company secured the order through a competitive global bidding process and will supply high quality API 5L X-80 grade large diameter steel linepipe to the state-run gas utility, PSL said in a press release.
It is the sixth successive order secured by PSL from GAIL in the last two years, taking the cumulative billing to over Rs 3,200 crore.
It has already completed the first five orders by laying over 1,100 km of pipeline of varying diameters, it added.
"The current GAIL order was due to PSLs R&D innovation in niche steel X-80 category. As a global manufacturing company, we are constantly upgrading our product mix, quality and R&D efforts to successfully implement projects for our clients," PSL Ltd Managing Director Ashok Punj said.
The company expects to build a large share of the proposed gas pipeline network to be built by GAIL, GSPL, and other domestic players, who have announced plans to construct pipeline transmission networks worth over Rs 20,000 crore.
PSL's annual pipe manufacturing capacity of the stands at 1,475,000 million tonnes per year.
