Nepal and India recently held a meeting on a range of bilateral trade-related issues including oil and gas cooperation between the two countries.
The Minister Commerce, Industries, and Supplies Matrika Prasad Yadav led the Nepali team and Minister of Petroleum and Natural Gas of India, Dharmendra Pradhan, headed the Indian delegation during the meeting held at Shastri Bhawan.
They had discussions on a feasibility study for setting up a gas pipeline, along with the under-construction Mahottari-Amlekhgunj Petroleum Pipeline, for supplying cooking fuel to Nepal. Nepal acquires all of its cooking gas requirements from India, and the fuel is supplied to through gas bullets from refineries at Panipat, Haldia, and Paradip.
Nepali side has been stated that the pipeline will cut the supply expenditure by gas bullets and will also end the problem of obstruction in supply.
In a month, Nepal imports 25,000 tonnes of cooking gas. Two years ago Nepal Oil Corporation (NOC) had formally requested the Indian Oil Corporation for setting up gas supply pipeline.
During Prime Minister Oli’s India visit, PM K P Sharma Oli and Indian Prime Minister Narendra Modi had jointly launched the India-Nepal petroleum products pipeline from Motihari to Amlekhgunj. The 69-km long pipeline will supply 20, 00,000 tonnes of oil annually. The pipeline project is expected to be completed in two years.
Likewise, the meeting also discussed the supply of natural gas for opening chemical fertilizer factory in Nepal in a bid to resolve the problem of chemical fertilizer in Nepal.