China National Wins Reliance Gas Pipeline Contract in India

China National Petroleum Corp., the nation’s biggest oil and gas producer, won its second order from Reliance Industries Ltd. (RIL) to build a natural gas pipeline in India.

China National Petroleum, or CNPC, will build 200 kilometers (124 miles) of the 302-kilometer pipeline from central India to the north of the country, according to CNPC’s newspaper China Petroleum Daily. The report didn’t give a value for the contract.

Reliance, which operates the world’s biggest refining complex, has coal-bed methane fields in Madhya Pradesh state in central India, according to the company’s website. The company, controlled by billionaire Mukesh Ambani, needs a pipeline to carry gas from its fields to customers in Uttar Pradesh state when production starts next year, according to the company’s annual report.

In 2006, CNPC won the contract to build Reliance’s pipeline that carries gas from its biggest field, KG-D6, off India’s east coast, to Gujarat state in western India.

Tushar Pania, a spokesman for Reliance, didn’t immediately comment on the pipeline contract.

Reliance dropped 0.5 percent to 1,027.20 rupees in Mumbai trading yesterday. The shares have increased 15 percent this year, compared with a 23 percent gain in the benchmark S&P BSE Sensex. (SENSEX)

To contact the reporter on this story: Rakteem Katakey in New Delhi at

To contact the editors responsible for this story: Jason Rogers at Indranil Ghosh, Abhay Singh

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