Petronet LNG targets investment in projects abroad, GAIL seeking six LNG cargoes
Petronet LNG, India’s largest importer of the chilled gas is planning to invest in projects outside the country, according to the company’s managing director Prabhat Singh.
In an interview with Reuters, Singh said the company is looking global and not only within India but intends to invest around US$450 million to up to $600 million per year for the next five years. This would amount to up to $3 billion in project investments.
Singh confirmed recent reports that the company proposed to build a 5 mtpa import terminal in Bangladesh adding that Petronet LNG also proposed to build a 1 mtpa floating terminal in Sri Lanka that is planning to set up a gas-fired power plant.
He further commented on an offer made by Russia to buy a stake in the Yamal LNG project saying this would only be possible if the prices from the project match the prices on the spot market.
Singh stressed the Indian market is a buyers’ market which will need a lot of gas in the future as current low prices have boosted the country’s demand.
GAIL taking advantage of low LNG price
A separate report confirms that Indian companies are looking to benefit from the low LNG price environment.
Namely, India’s GAIL launched a tender to buy six LNG cargoes that would be delivered in 2017, Reuters reports.
The cargoes will be price linked to Brent crude oil prices, and are GAIL’s attempt to up its purchases and increase supply to India’s industries.
LNG World News Staff