India: FACT to Purchase LNG from GAIL

India: FACT to Purchase LNG from GAIL

 FACT (Fertilisers and Chemicals Travancore) of India inked a contract with GAIL for temporary procurement of LNG. This deal refers to the purchase of low-pressure gas to be used in FACT’s boilers, according to The New Indian Express.

Low pressure LNG is going to replace furnace oil to generate steam in the boilers, and it is expected that FACT’s boilers start using LNG within a day or two.

FACT’s joint general manager I. S. Ambika and GAIL deputy general manager R. K. Singhal signed the agreement.

Three days ago, The Hindu reported that FACT has decided to purchase a spot cargo of LNG from Petronet’s Kochi LNG terminal on Puthuvype Island.

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LNG World News Staff, August 28, 2013; Image: FACT