Dilip Buildcon Gets LPG Pipeline Authorisation; Shares Rise 1.55%

Mumbai, October 7: Dilip Buildcon Limited has received a Grant of Authorisation from the Petroleum and Natural Gas Regulatory Board (PNGRB) to develop, build, operate and expand an LPG pipeline connecting Paradip in Odisha with Raipur in Chhattisgarh.

According to the exchange filing, the authorisation gives Dilip Buildcon the exclusive licence to develop the pipeline infrastructure for transportation of LPG, including financing, construction, operation and maintenance, subject to the required approvals and regulatory conditions.

The proposed pipeline will transport LPG to bottling plants operated by various Oil Marketing Companies. The project is intended to replace road-based transportation of LPG through tankers and improve the safety and efficiency of LPG movement.

Dilip Buildcon will undertake the design, financing, development, construction, operation and maintenance of the pipeline infrastructure through a Special Purpose Vehicle (SPV).

Stock Market Snapshot

The Dilip Buildcon share price stood at ₹407.00 as of 11:48:39 AM IST on October 7, 2026, according to the market data.

The stock was up ₹6.20, or 1.55%, at the time. Shares moved sharply higher around the 10:40 AM mark before settling near the ₹407 level during the late-morning session.

The rise came as the company disclosed the PNGRB authorisation for the LPG pipeline project.

₹1,800 Crore Business Opportunity Over 36 Months

The pipeline project is expected to be implemented through an SPV in which Dilip Buildcon will hold 100% equity. The company said the engineering, procurement and construction works are proposed to be awarded to Dilip Buildcon.

The project represents a business opportunity of approximately ₹1,800 crore, excluding GST, to be executed over 36 months. The authorisation provides for an execution period of three years followed by an operation period of 25 years.

The pipeline will operate as a Common Carrier under the applicable PNGRB framework, allowing third-party users to access its capacity. Revenue is expected to be generated through the applicable Petroleum and Petroleum Products Pipeline Transportation Tariff for LPG transported through the pipeline.

Dilip Buildcon To Develop And Operate Pipeline Infrastructure

Under the proposed structure, Dilip Buildcon will be responsible for developing and operating the LPG pipeline infrastructure and providing transportation services. The company clarified that it will not be involved in the procurement, trading, distribution or sale of LPG and will not bear the associated commercial risks related to LPG procurement and marketing.

The PNGRB is the awarding authority for the authorisation. The disclosure states that there is no interest of Dilip Buildcon’s promoter or promoter group in the authority, and the transaction does not fall under related-party transactions.

Conclusion

The PNGRB authorisation marks Dilip Buildcon’s entry into a long-term LPG transportation infrastructure project connecting Paradip with Raipur. The proposed pipeline is expected to support the movement of LPG to bottling facilities while reducing dependence on road-based tanker transportation.

With an estimated business opportunity of ₹1,800 crore excluding GST, a three-year execution period and a 25-year operation period, the project adds a sizeable infrastructure opportunity to Dilip Buildcon’s portfolio.

Source:

• https://www.nseindia.com/get-quote/equity/DBL/Dilip-Buildcon-Limited
• https://nsearchives.nseindia.com/corporate/DBL_07102026103800_IntimationLPG.pdf