NEW DELHI, Feb 28 Asia Pulse – Petronet LNG Ltd (BSE:532522) is in advanced discussions for import of 2.5 million tons of liquefied natural gas (LNG) from the Gorgon Project in Australia, Minister of State for Petroleum and Natural Gas Dinsha Patel said on Tuesday.
“Pricing of LNG would be indicated by the suppliers at the time of conclusion of the agreement, which is linked with financial closure of the project,” he said in a written reply to a question in Rajya Sabha here.
The liquefaction and loading port facilities are planned by the suppliers at Barrow Island in the North West offshore region of Australia, while in India it will be unloaded at Kochi Port.
Petronet LNG Ltd will import 2.5 million tons of LNG from Chevron-operated Gorgon Project from 2012.
The Gorgon Project plans to develop the Greater Gorgon gas fields, located about 130 km off the north-west coast of Western Australia. The Greater Gorgon gas fields contain resources of about 40 trillion cubic feet of gas, Australia’s largest known undeveloped gas resource.
Chevron is operator of the project with a 50 per cent interest, with ExxonMobil and Shell each holding 25 per cent.
The project involves building two trains capable of producing 10 million tons per annum of LNG. Three shipments a week are expected to leave a dedicated LNG loading jetty.
Petronet currently imports 5 million tons per annum of LNG from Qatar at its Dahej terminal in Gujarat. It is building another LNG terminal at Kochi in Kerala with a capacity of 2.5 million tons per annum, expandable to 5 million tons. Kochi terminal will be ready by early 2010.
Besides, the company is also doubling the capacity of its Dahej terminal to 10 million tons by 2009. (PTI)