BG Group of UK said it had completed an agreement for the long-term sale of liquefied natural gas (LNG) to India, one of the world’s most rapidly growing energy markets.
Under the agreement, BG Group will supply state-owned Gujarat State Petroleum Corporation Limited (GSPC) with up to 2.5 million tonnes per annum (mtpa) of LNG, concluding negotiations announced in September 2011.
BG Group will initially supply 1.25 mtpa of LNG beginning in 2015 and for up to 20 years, potentially increasing to 2.5 mtpa after two years. GSPC will be supplied from the Group’s global LNG portfolio.
BG Group Chief Executive Chris Finlayson said: “ We have been active in India for more than 15 years and it is a large and important market that we understand well. We expect the country to lie third among LNG importing countries by 2025, behind Japan and China.
“ Our long-term agreement with GSPC adds another dimension to our global LNG portfolio with the addition of material new supplies to a fast growing market. We look forward to building our presence in the country, ” Mr Finlayson said.
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LNG World News Staff, March 20, 2013; Image: BG