GAIL (India) (NSE:GAIL, BOM:532155) has entered into a tripartite concession agreement with the Greater Bengaluru Authority and Bengaluru Solid Waste Management Limited (BSWML) to set up a compressed biogas (CBG) plant in Bengaluru, India, according to a Friday filing to the Indian stock exchanges.

Under the deal, GBA will provide 18 acres of land for the project, while BSWML will supply 300 tons per day of segregated municipal solid waste, which will be processed to produce 12.6 tons per day of CBG.

The unit will also produce around 22 tons of fermented organic manure daily.

The concession agreement will be valid for 25 years from the commissioning of the project.

The company's shares were down nearly 2% in recent trade.