Organic Recycling Systems Limited (the Company) has entered into a non-binding Memorandum of Understanding (MoU) with Mahanagar Gas Limited (MGL) to explore potential opportunities in the Compressed Biogas (CBG) value chain in the states of Maharashtra and Karnataka.
The MoU provides a framework for evaluating potential CBG projects using agricultural waste, OFMSW (Organic Fraction of Municipal Solid Waste), and other organic feedstocks. The scope includes feasibility assessments, techno-commercial evaluation, project development, and potential CBG offtake arrangements.
Key Details:
- Parties Involved: Organic Recycling Systems Limited and Mahanagar Gas Limited (MGL)
- Agreement Type: Domestic Memorandum of Understanding
- Nature: Non-binding agreement
- Geographic Scope: Maharashtra and Karnataka states
- Consideration: No consideration or definitive investment commitment specified under the MoU
- Market Capitalization: MGL is a listed entity with approximate market capitalization of ₹10,000 crore
Significant Terms:
The MoU is non-binding in nature. Any future commercial arrangement, including EPC contract or other agreements, will be subject to feasibility studies, due diligence, mutual agreement, requisite approvals, and execution of definitive agreements where applicable.
Rationale and Expected Benefits:
The collaboration aims to leverage Organic Recycling Systems' organic waste processing and CBG project development capabilities along with MGL's city gas distribution expertise to explore commercially viable CBG projects and potential offtake opportunities.
Financial Impact:
No financial consideration or definitive investment commitment is specified under the MoU. Financial impact not quantified in the disclosure.
Effective Date:
The MoU was signed on October 22, 2026, as indicated by the document date and digital signature timestamp of 2026.10.22 08:23:45 +05'30'.