Gray named a large training squad last week to practise during the next couple of weeks. The season is set to begin on September 8 against Wellington.
Gray said the large squad would be culled over the next few weeks, and 26 to 28 players would be named for the season.
The participation of the Otago side had looked in jeopardy earlier in the year, as the Otago union had declined to enter because of its tight financial situation.
But a fund-raising campaign had been carried out and had successfully covered the team's running costs of about $20,000.
Gray said the fundraising campaign showed the passion which surrounded the women's game and the dedication of the players involved.
He was encouraged with what he had seen in the women's club games in Dunedin.
Last year, the Otago side drew one game and lost the other four in the national provincial competition, so Gray said in essence the only way was up.
Gray coached the Alhambra-Union premier men's side during the club season, so he was limited in what he could see of women players when they played club rugby.
But he felt there was some talent there.
Gray will be assisted by former Alhambra-Union club player Nick Turner, who will mainly coach the forwards.
The side this year has been boosted by the arrival of Black Ferns Anika Tiplady and Haile Hurring into town.
Both are backs and would be a real influence for players around them.
Long-serving captain and prop Beth Mallard is overseas so the side will need a new skipper. Gray is yet to make his choice.
One of the disadvantages for the side is it will not have any warm-up games.
Officials tried to arrange a game with Canterbury but that has fallen through.
Many other women's sides were playing games against male teams but Gray was unsure what level of male side to play against and how productive the game would be.
With Waikato joining the competition, Otago will play six games this year in the provincial competition, although its first home game will not be until September 29.
