Indian Oil Corporation books regas capacity at Dhamra LNG terminal

Indian Oil Corporation books regas capacity at Dhamra LNG terminalIllustration purposes only, Dhamra port (Image courtesy of Adani Group)

Indian Oil Corporation executed a tolling agreement with Dhamra LNG terminal, an Adani company, for regasification capacity at the LNG terminal being built at Dhamra port in Odisha. 

The company said in its filing to the stock exchange that it has booked 3 mtpa of regasification capacity at the 5 mtpa facility.

The LNG terminal at Dhamra is expected to meet the captive gas requirements of three refineries of Indian Oil situated in Barauni, Haldia and Paradip.

The project will also enable supply of gas to City Gas Distribution (CGD) networks being set up in seven important towns in eastern India, namely, Varanasi, Patna, Ranchi, Jamshedpur, Kolkata, Bhubaneshwar and Cuttack.

The LNG terminal at Dhamra would provide fuel to the potential customers like industries, transport and domestic households in the states of Odisha, Bihar, Jharkhand and West Bengal.

When the works started at the facility in July last year, India’s minister of petroleum and natural gas, Dharmendra Pradhan said that the Dhamra LNG terminal, first in Eastern India will be receiving the chilled fuel from Qatar and the United States, adding that the project will cost at over Rs. 60 billion ($930 million).

Dhamra LNG is a joint venture between Adani Group (50 percent) and the state-owned Indian Oil Corporation and Gail, holding a 39 percent and 11 percent equity respectively.

The project is expected to start up by 2020-2021.


LNG World News Staff

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