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RasGas to up gas supplies to Petronet

January 17, 2005 18:09 IST
Source:PTI
Qatar's RasGas, which has signed a contract to supply 7.5 million tonnes of liquefied natural gas to Petronet LNG, is in talks to increase gas supplies further, company managing Director Jerry Wolahan said on Monday.

RasGas will double LNG exports to Petronet to 5 million tonnes from April this year and an additional 2.5 million tonnes was scheduled for supply in 2008.

"We are talking to Petronet LNG for supplies beyond 7.5 million tonnes," Wolahan said.

Petronet is doubling its Dahej terminal capacity to 10 million tonnes and putting up a new 2.5 million tonnes capacity import terminal at Kochi.

Dahej imported 2.5 milion tonnes of LNG from Qatar in its first year of operation in 2004-05 and will operate at full capacity from 2005-06.

The 2.5 million tonnes of LNG in 2008 will also be regassified at Dahej. Kochi and Dahej will receive 5 million tonnes of LNG from Iran from 2009, contract for which was signed earlier this month.

"After doubling the capacity, our terminal can actually process 13 million tonnes of LNG and so we are seeking more LNG from Qatar," a top Petronet LNG official said.

Wolahan, however, said RasGas's planned production capacities till 2010 has been tied-up and Petronet can get additional volume only from future projects. He said there was enough demand in India to justify LNG and piped gas imports from several sources.

Petronet will get 5 million tonnes of LNG at Dahej from RasGas's Train-3 and the additional 2.5 million tonnes from Train 4/5 and 6/7.

Oil and Natural Gas Corporation will get 5 per cent stake in Train-3 and RasGas may in return pick up a stake in the Dahej terminal.

"ONGC has held advanced due diligence for picking up the stake. We expect to finalise the price by year end and it would take another year for finalisation of the documents," Wolahan said.

Source: PTI
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