The frequent occurrence of gas leaks in factories has become a pressing issue, posing significant threats to human safety and environmental sustainability. Among the types of gases implicated in these incidents is liquefied Petroleum Gas (LPG), comprising propane and butane, which are commonly used in industrial settings. The occurrences of leaks can be attributed to diverse factors such as equipment malfunctions, inadequate maintenance practices, or human errors during the storage and handling processes. Therefore, to address the challenge of gas leaks, the Factory Eco-Alert Internet of Things (FEA-IoT) with Gas Leak Detection and Auto-Monitoring System is created for factory purposes. Its foremost advantage lies in early detection and alert capabilities, facilitated by advanced sensors that swiftly identify gas leaks, allowing for immediate response measures. This ability will enhance factory safety, reducing the potential for accidents and damage. The Agile methodology model is used as a guide to complete the proposed system. The FEA-IoT system used NodeMCU, MQ-6 sensor, exhaust fan, micro servo, LCD, and buzzer. The MQ-6 sensor is used in this system because it can detect a wide range of gases, including propane, butane, methane, alcohol, and smoke. Other than that, the MQ-6 sensor is known for being particularly sensitive to LPG (Liquefied Petroleum Gas). The threshold value is set to detect normal, warning, and dangerous conditions. The system will sound an alert buzzer in warning condition and release the recognized LPG gas by automatically activating the exhaust fan and opening the window. The alert notification will be sent to an administrator. The additional action will be applied in dangerous conditions. The emergency email alert including the location of the factory will be automatically sent to the Hazmat unit team to notify them about the gas leakage alerts. All the monitoring values will be transmitted over the internet through the Blynk mobile application. The information is accessible to the administration and owner of the factory. The early action not only can save human life but also prevent serious threats as these gas leaks can cause fire and reduce the financial losses of the industries. This paper proposed the prototype version for earlier development.