IFFCO & GAIL in co-op agreement in gas sector

Gail (India) Ltd, India’s principal natural gas companies and Iffco, the world’s largest manufacturers and marketer of fertilisers in the cooperative sector, have entered into an agreement for co-operation in gas sector projects and related opportunities here. This would include setting up of a gas-based power project. This MOU is described as a milestone development of its kind, where a key raw material supplier and the consumer have joined hands. 
Under the co-operation agreement, both companies would evaluate the potential of setting up a gas-based power power plant and other industries including chemicals, fertilisers, compressed natural gas and piped natural gas (PNG) in India besides exploring the possibility of sourcing natural gas/LNG for the identified projects.
The feasibility study for identified projects would be carried out by Gail and Iffco jointly. Subsequently, based on techno-economics of the project, a Joint Venture (JV) company between Gail and Iffco would be formed for implementing the projects.