We, together with GSPL, hold a 98.6% equity interest in GSPC Gas, which manages our City Gas Distribution (“CGD”) networks. GSPC Gas distributes piped gas sourced through our gas trading operations to 17 city gas distribution networks within Gujarat. The company is planning to develop additional three CGDs by the end of 2010. Each CGD uses city gas stations to reduce the pressure of gas delivered through GSPL’s gas transmission network and then distributes it to commercial and domestic customers through dedicated pipelines. For gas being delivered to industrial customers, a city gas station is generally not required if the gas is delivered to a CNG station and to high pressure industrial users. Certain CNG stations, currently in operation, are owned by GSPC Gas but are also co-located with oil marketing companies.


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