From The Economic Times · Kalpana Pathak · · 1m 10s
GAIL exits US shale after 13 years
India's state-run gas distributor is selling its entire stake in Texas oil and gas assets amid declining output.
In brief
India's state-run gas distributor is selling its entire stake in Texas oil and gas assets amid declining output. GAIL is exiting its US shale investment after 13 years, following a pattern of Indian energy companies withdrawing from American shale assets. Originally reported by The Economic Times.
GAIL selling US shale stake
GAIL India's US unit is close to selling its entire 20% stake in oil and gas assets at Eagle Ford shale basin in Texas.
Multiple buyers interested
The state-run gas distributor has received several expressions of interest from US-based companies and is reviewing them.
Deal worth ₹100 crore
GAIL plans to complete the sale by next month and could garner about ₹100 crore from the deal.
What's being sold
The assets include interests in 91 oil and gas wells and 13 proved undeveloped locations, covering 2,870 net acres in La Salle and Frio counties.
GAIL entered in 2011
GAIL took a 20% interest in Carrizo Oil & Gas' Eagle Ford acreage in September 2011 for $95 million.
Following RIL's exit pattern
The move follows similar exits by other Indian energy companies like RIL, which sold its remaining Eagle Ford shale assets in 2021.
The key point
GAIL is exiting its US shale investment after 13 years, following a pattern of Indian energy companies withdrawing from American shale assets.
