LNG Terminal in Mundra within 2-3 Months

A 5 metric tonne per annum (MTPA) liquefied natural gas (LNG) terminal has been given the go ahead by the Gujarat State Petroleum Corporation Ltd. (GSPC). This terminal will be the third in Gujarat, and one of five in India. There are plans to set up more such terminals that will allow super-cooled import of LNG to be converted into gas and then piped to consumers as part of meeting India’s growing energy demands. The entity GSPL LNG Ltd. is a joint venture between the Adani Group and GSPC, but will be looking for additional partners, possibly Indian Oil Corporation Ltd., to help oversee operations at the Mundra terminal. Jagdip Narayan Singh, the Managing Director of GSPC indicated that there was some delay in the process, so it may be necessary to bring on board a new partner once the terms of commission and operations have been settled. Initial bids invited for investment by potential partners was met with interest from the Oil and Natural Gas Corporation Ltd. (ONGC), and India Gas Solutions, a joint venture between Reliance Industries Ltd. and BP Plc.

The Mundra terminal is expected to be operational by September at the latest, and is one of several similar projects being set up all along India’s East and West Coasts to address the growing energy requirements that India has at the moment. The overall cost of this project is estimated to be upwards of five thousand crore rupees.