India’s Minister of Petroleum and Natural Gas, Dharmendra Pradhan called for a reduction in LNG price of Qatari chilled gas delivered to India in order to reflect the recent drop in global rates.
According to the Press Trust of India, Pradhan tried to negotiate the reduction during his meeting with Qatar’s Energy Minister Mohammed Saleh Abdullah Al Sada.
India currently imports LNG from Qatar for a price of close to $12 per million British thermal units in comparison to the spot market prices that are currently at $6-7 per mmBtu.
Al Sada on the other hand, said the issue should be negotiated between the companies in question.
India’s largest LNG importer Petronet LNG recently asked for a 10 % cut in imports from Qatar. It has a 25-year supply deal in place with RasGas of Qatar for 7.5 mtpa of LNG.
LNG World News Staff; Image: pib.nic.in