News Brief | January 2011
Petronet LNG nod to double capacity for Kochi terminal
Petronet LNG has decided to double the capacity for the proposed liquefied natural gas (LNG) terminal at Puthuvypu, off Kochi to five million tonne. The terminal is expected to be commissioned by March 2012. The Petronet board took the capacity enhancement decision which will take the investment for the terminal to Rs 4,000 crore. Petronet is a consortium promoted by Gas Authority of India (GAIL), Oil and Natural Gas Corporation (ONGC), Indian Oil Corporation and Bharat Petroleum Corporation, each having 12.5 per cent equity share and 10 per cent held by GDF International, 5.2 by the Asian Development Bank and 34.8 with the public. The company had already tied up a 1.5 tonne LNG supply agreement with Exxon Mobil Australia and was in talks with other LNG suppliers. Agreements would be reached before the terminal is commissioned. The commissioning of the terminal will positively impact the working of downstream industries like the Fertilisers and Chemicals Travancore (FACT) and the National Thermal Power Corporation plant at Kayamkulam in Kerala which will switch over to LNG as fuel from the present naphtha.
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