The two companies signed a Memorandum of Understanding (MoU) for joint cooperation in various business areas where the two public center enterprises will also examine the possibility of joint bidding for overseas exploration blocks and also securing farm-in options in already awarded exploration blocks in India and abroad.
Cooperation in transportation and marketing of Oil's share of gas from new discoveries through GAIL's existing pipeline network and new infrastructure by GAIL is also sought.
Further, Gail and Oil may consider examining joint participation in gas pipeline projects abroad including transnational gas pipeline projects.
The two companies will also examine joint implementation of city gas distribution projects in major cities of Assam and in other states through Joint Venture (JV) route along with interested third parties.
Similarly, GAIL and OIL will discuss cooperation in Coal-bed Methane (CBM) opportunities, petrochemicals sector in India and abroad including joint participation in the next CBM bidding round in India.