GAIL Lines Up ₹12,000 Cr Capex as Gas Prices Ease

STATE-OWNED GAIL India expects global natural gas prices to soften going forward, which would support its growth, and has outlined a capital expenditure plan of ₹12,000 crore for FY 2026-27.

- ARUNIMA BHARADWAJ

"This is actually not a normal situation in which we are experiencing that Henry Hub prices are higher. So we believe that these prices will soften. We are also regularly tracking the market and taking positions in the paper market to keep the cost down," the company said.

GAIL also anticipates crude oil prices to remain in the $60-$70 per barrel range over the next few years, barring any major geopolitical disruptions that could cause temporary spikes.

However, the company flagged concerns over subdued prices of alternate fuels like naphtha. While these are generally correlated with crude oil, they are also influenced by refining complexities, which the company said is a matter of concern.