India boosted its LNG imports in February by almost 63 percent due to the revised deal with Qatar and spot prices declining to below US$5 per mmBtu.
The country’s LNG imports in February rose to 1,788 mmscm from 1,100 mmscm a year ago, according to the data from oil ministry’s Petroleum Planning and Analysis Cell (PPAC).
During the fiscal year that ended in February 2016, total imports of chilled gas were at 19,563 mmscm, a rise of 13.1 percent on year, PPAC said.
As previously reported by LNG World News, Petronet LNG of India and Qatar’s RasGas agreed a revised price and raised the volumes of the 25-year supply contract the two companies signed in 1999.
Under the initial deal, Petronet agreed to pay about $13 per mmBtu, while the revised price is reduced to around $6 to $7 per mmBtu.
Additionally, Petronet has avoided paying the $1.5 billion penalty for taking less LNG than it contracted for 2015, but under the new agreement, it will have to take and pay for all of the volumes it has not taken in 2015 during the remaining term of the contract.
First cargo under the revised deal was delivered in January to Petronet’s Dahej LNG terminal.
Beside the Dahej plant, India imports chilled gas via the Kochi LNG terminal, also operated by Petronet, Shell’s Hazira terminal, and the Dabhol terminal operated by Ratnagiri Gas and Power.