India’s largest LNG importer Petronet signed a memorandum of understanding with Bangladesh Oil, Gas and Mineral Corporation to set up an LNG regasification terminal at Kutubdia Island.
Under the MoU the two companies will also develop a pipeline to transport the regasified LNG, in a project estimated to cost US$950 million, a statement by the High Commission of India says.
The terminal, expected to be completed within four years will have a capacity to handle 7.5 million metric tons of the chilled fuel per year.
The project envisions future expansion and can be used to supply LNG through small barges and LNG trucks to users which are not connected by gas grid.
The memorandum of understanding follows reports from July that Petronet LNG has been shortlisted to build an LNG import terminal in Bangladesh initially proposed to have a capacity of 5 mtpa of LNG.
LNG World News Staff