India in talks to buy 20 million tonne of LNG: Moily
Energy-hungry India is in talks to buy as much as 20 mn tonne a year of liquefied natural gas or LNG but price of over USD 10 remains a challenge."India has now become fifth largest importer of LNG after Japan, South Korea, UK and Spain and accounts for 5.5 percent of the total trade," M Veerappa Moily, Oil Minister said addressing third IEF NOC-IOC Forum.
With LNG demand expected to grow at 5-6 per cent per year till 2020 and 2-3 per cent thereafter, India along with other Asian counterparts is driving this growth, he said. "A lot of capacities are being created in India and huge numbers of supply deals have been there. LNG re-gasification capacity expected to be more than 50 mn tonne per annum by 2016-17 with a supply of 198 mn standard cubic meters per day," Moily added. The nation currently has three operational LNG import facilities - 10 mn tonne terminal at Dahej and 3.6 mn tonne plant at Hazira in Gujarat and 5 million tonne terminal at Dabhol in Maharashtra.
A 5 million tonne capacity terminal is to be commissioned in Kochi in Kerala this year. LNG terminals are being planned on the east coast as well.