ONGC, IOC & BPCL have booked 60% of the Capacity of Swan Energy’s Upcoming Floating LNG Terminal
The
upcoming floating LNG terminal at Gujarat coast, would surge the demand for LNG
in western & northern region of India.
India: State-owned Oil and Natural Gas
Corporation, Indian Oil Corporation Limited and Bharat Petroleum Corporation Limited
have booked 60% of Swan Energy’s upcoming floating LNG terminal capacity at
Gujarat coast. Swan Energy is building the LNG project in joint venture with
Exmar of Belgium. The Indian national oil companies have agreed to take of one
million tons per annum capacity each out of five million tons a year floating
LNG terminal planned at Jafrabad port in Gujarat. Swan Energy is targeting for
commissioning of the one jetty-moored FSRU at Jafrabad by 2019.
TechSci
Research depicts that India is aggressively expanding its LNG terminal capacity
to cater incremental demand of natural gas. Government has also announced
revised guidelines in “Gas Allocation Policy” to prioritize natural gas supply
to various end-user segments that include City Gas Distribution for households
and transport sector, fertilizers sectors, power plants and industrial sector.
In addition, emergence of SSLNG market is opening up new opportunities for the
industry. Other policies like E-bid RLNG are also expected to play a crucial
role for supplying imported RLNG to power plants and fertilizer industry.
According
to TechSci Research report, “India LNG
Market Forecast &
Opportunities, 2025”,
the total opportunity for RLNG in India is projected to increase from an
estimated 52.34 mmscmd in 2016 to 305.10 mmscmd by 2025, registering a CAGR of
more than 21% during 2016–2025. Upcoming LNG terminal projects, surging demand
for natural gas in India and cost-effectiveness of LNG as compared to other
alternative fuels are the major factors anticipated to positively influence the
country’s LNG market scenario over the next ten years.