Dilip Buildcon Wins ₹1,800 Crore LOI for Paradip–Raipur LPG Pipeline
Dilip Buildcon Limited has been selected as the successful bidder and received a Letter of Intent (LOI) from the Petroleum and Natural Gas Regulatory Board (PNGRB) for the development of an LPG pipeline from Paradip in Odisha to Raipur in Chhattisgarh. The company disclosed the development to stock exchanges on September 9, 2026.
The LOI grants exclusive authorisation to develop pipeline infrastructure for LPG transportation, covering design, financing, construction, operation and maintenance, subject to applicable regulatory approvals from PNGRB. The project will be executed through a wholly owned Special Purpose Vehicle, with the EPC works proposed to be awarded to Dilip Buildcon itself.
The estimated project cost is approximately ₹1,800 crore, excluding GST, with a construction period of three years followed by a 25-year operating period.
The pipeline is intended to transport LPG to bottling plants operated by various Oil Marketing Companies, replacing existing road-based tanker transportation and improving road safety. It will operate as a Common Carrier under the applicable PNGRB framework, allowing eligible OMCs and other users to access its capacity, with revenue generated through the applicable pipeline transportation tariff.