As the domestic NG ecosystem (CGD network, re-gas terminals, pipeline connectivity, revamp of fertiliser plants) develops, India could derive maximum benefit of LNG prices. Given GAIL's dominant position in India's gas pipeline network, its gas transmission business is likely to remain in a sweet spot. New US liquefaction terminals will not only boost RLNG exports but also keep Henry Hub (HH) prices subdued, enabling GAIL to swap cargoes. Thus, US LNG is not a stress point. Our SOTP target is Rs 201 (7.5x Jun-21E EV/e for the stable Gas and LPG transmission businesses, 5.0x EV/e for the volatile gas marketing business, 6.5x EV/e for the cyclical petchem and LPG/LHC businesses, Rs 36 for investments and Rs 12/sh for CWIP). GAIL reported a stable 1QFY20 led by improved profitability in gas transmission and trading segments albeit a dismal show by petchem owing to a planned shutdown. Maintain BUY.