CALCUTTA, December 10: Enron International today signed a memorandum of understanding with RPG Enterprises for jointly studying gas requirements in eastern India. Enron, which is looking at eastern India for the first time, is considering gas transmission and power generation projects.

It has identified the fertiliser, steel and power sectors as potential buyers for gas to be piped in from Myanmar's deposits. The demand for gas from these sectors and for industrial use will be to the tune of 14 million cubic metres and will increase to 30 mcm over the next few years.

Rebecca P Mark, chief executive officer of Enron International, said the MoU was formalised today. Speaking at the US investment summit, The Emerging East, Mark said the study will help develop a gas market in the country.

There are enough gas reserves in this region, especially in Tripura and in Myanmar. The study, according to Mark, will take around six months to be completed.

Mark said that, after meeting the industrial requirements, the gas can be exported to other countries also. Enron will be banking on RPG's expertise and resources for the joint-study in exploring the demand for gas in this part of the country since the group is well-established and runs one of the biggest private power utilities in eastern India.

Enron is also considering developing gas pipelines throughout the country. The company is interested in the development of gas exploration and gas reserves, in addition to developing the gas market in the country. Rebecca Mark felt that her company will play a major part in transportation of gases from the Myanmar to India through Bangladesh. During the discussions of the group on oil, gas and power, Mark said the transportation of the gas will need three or four participants and "that is the place for Enron". She pointed out that much of the work will be done by the private sector.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.