Saisan has acquired 51% shares of N.L.Gas Udhyog Private Limited (so-called NL Gas) of LPG supplier in Nepal to start the LPG business in Nepal.

　In October 2008, NL Gas was established as a lubricant distributor fully invested by Nepal Oil Corporation (so-called NOC) run by the government. Following the privatization in 2014, however, the business operation was converted to the LPG field and the capital was shifted at some times. Now the company is managed by three businessmen represented by Krishna Shrestha.

Headquartered in Kathmandu of the capital, the company has a filling station with two storage tanks of 50t each in Janakpur Province near the Indian border. The capital is 250 million NPR (equivalent to 275 million). The latest sales (for FY17 ending July) amounted to 2029 million NPR (equivalent of 251 million) and the volume of LPG handled was 2580t.

According to Saisan, the size of LPG market of Nepal at present is about 250 thousand tons per year, but the demand is expanding at 5 to 10% in proportion to the industrial growth. It has made the company judge expectation of further growth in the future.

On the other hand, as the market grows, explosions of cylinder have occurred so often that the NL Gas side has been exploring to accept investment from an overseas company which is well advanced in the safety control technologies.
　
In Nepal LPG is supplied mainly by a small-sized cylinder of 14.2 kg for not only household use but also for business use in a much larger volume. In case of large users, it was necessary to provide and transport quite a number of cylinders which may often cause accidents in succession.

After the capital investment to NL Gas, Saisan is going to introduce the current Japanese supply system using 50-kg large cylinders for business use, bulk for the industrial use and the piping supply system to households or to a simplified gas supply system to communities, so that the company may contribute to the enhancement of safety supply of LPG.

　The investing rates to NL Gas from now on will consist of 51% by Saisan and 49% by Shrestha, and the business operation will be developed by Saisan and the current shareholders jointly. After clearing the necessary procedures, the company name will be changed into Gas One Nepal Private Limited. 　　

　NL Gas’s operation area is located around Janakpur where there is a filling station, but it has got business qualification also in the state of Bagmati and Gandaki Zone of which capital is Pokhara of sightseeing spot. It is planned to expand the areas including the construction of new filling stations.

Saisan’s sales targets in the future have been announced to be 370 million NPR (equivalent to 405 million) for FY18 ending July, 470 million NPR (equivalent to 515 NPR (equivalent to 515 million) for FY19 ending July and 520 NPR (equivalent to 570 million) for FY20 ending July.