two metros Delhi and Mumbai through joint venture companies Indraprastha Gas Limited (IGL) and Mahanagar Gas Limited (MGL) leading to the start of commercial operation of city gas projects. The results of these ventures are quite visible through the improvement in air quality in these cities. Based on the success of IGL and MGL, GAIL has further set up six more JVCs viz Bhagyanagar Gas Limited, Andhra Pradesh; Avantika Gas Limited in Madhya Pradesh; Central U P Gas Limited & Green Gas Limited in Uttar Pradesh; Maharashtra Natural Gas Limited in Pune Maharashtra and Tripura Natural Gas Company Limited in Tripura for CGD projects in various cities. However, Ministry of Petroleum & Natural Gas established the Petroleum and Natural Gas Regulatory Board (PNGRB) with effect from 01.10.2007, under the Petroleum and Natural Gas Regulatory Board Act 2006, to regulate the refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas excluding production of crude oil and natural gas. The Petroleum & Natural Gas Regulatory Board Act-2006 provides the legal framework for the development of the natural gas pipelines and city or local gas distribution networks. With the arrival of the PNGRB the implementation of PNG in various cities is being taken up in a phased manner as and when the bids are called for by the regulator. Exploration and production GAIL is participating in 10 exploration blocks, in Basins such as Mahanadi, Mumbai, Cambay, Assam-Arakan, Tripura Fold Belt, Gujarat Kutch, Krishna Godavari, Cauvery and Cauvery Palar. GAIL has partnership in these blocks with various companies such as ONGC, OIL, GSPC, Hardy Exploration & Production, Petrogas, JOGPL, Eni and Daewoo as Operators. Out of these 10 E&P blocks, 2 blocks are overseas (A-1 and A-3 blocks in Myanmar). The blocks are in various stages of exploration, appraisal and development. Hydrocarbon discoveries are in place in 7 E&P blocks in blocks where GAIL is participating. The blocks with hydrocarbon discoveries are: MN-OSN-2000/2, CB-ONN-2000/1, Block A-1 and A-3 Myanmar, CY-OS/2, AA-ONN-2002/1, CB-ONN-2003/2. Production of crude oil is in progress from Cambay Onland block (CB-ONN-2000/1) @ 1250 barrels per day. Development activities are in progress in 2 blocks in Burma (A-1 and A-3) and production of gas is expected from May 2013. Declaration of Commerciality has been approved by the Government in Mahanadi Offshore (MN-OSN-2000/2) block. In other blocks where hydrocarbon discoveries have been made, the appraisal is in