Mahanagar Gas Share Price Surges Over 3%; To Raise Capex to ₹1,800 Crore for PNG Expansion

Mahanagar Gas Ltd (MGL) is planning to spend more money on expanding its piped natural gas (PNG) business, as per The Economic Times news report. The company has increased its planned capital expenditure for this financial year by 20% to ₹1,800 crore. 

MGL is also looking to increase the number of new household connections it can add each day as it works towards adding 1 million new PNG connections. 

MGL May Add Up to 3,000 Connections a Day 

MGL is currently working on increasing its daily connection capacity. 

The company is looking at increasing the number from around 1,000 connections a day to as much as 3,000. CFO Rajesh Patel said the company could go beyond 1,000 connections a day if the problems in execution are sorted out. 

Record PNG Conversions in Q1 

MGL had a strong start to the financial year. The company recorded 97,461 domestic PNG conversions in the first quarter. 

The company believes it can add more connections if the issues slowing down the work are removed. 

₹1,800 Crore to Be Spent on Expansion 

MGL has increased its planned capex by 20% to ₹1,800 crore for the current financial year. 

The company plans to use the money to expand its existing network and connect more households. MGL currently has around 8,477 km of network. 

It also plans to activate around one million connections that are already available but are not currently consuming gas. 

Push to Move from LPG to PNG 

The company's expansion is also being helped by government policies encouraging households to move from LPG to piped gas. 

For MGL, this could mean more households getting connected to its existing network and eventually using more PNG. 

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MGL Share Price Performance 

As of August 19, 2026, at 12:07 PM, Mahanagar Gas share price was trading at ₹1,151.00 per share, reflecting a surge of 3.56% from the previous trading session. 

Conclusion 

MGL is increasing its spending to expand its PNG business. The company has set a capex target of ₹1,800 crore and is looking at adding up to 3,000 household connections a day as it works towards its one-million-connection target. 

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