GAIL India Ltd will be taking 5 percent stake in the international consortium building the USD 8.7 billion Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline.

According to a senior government official, “Turkmenistan’s state-owned TurkmenGaz will be the leader of the consortium and shall take 85 percent equity. India will be represented by GAIL which will take a 5 percent interest.”

In August, the four nations building the pipeline had agreed to co-own the project and a joint venture company with participation of each country will be set up for building and operating the 1,814 kilometre line.

The TAPI pipeline will be having a capacity to carry 90 million standard cubic metres a day (mmscmd) gas for 30 years and is planned to become operational in 2018.

Read EquityPandit’s Technical Analysis of Indian Stock Market