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IOC Seeks 8 LNG Cargoes for Dhamra terminal

Indian Oil Corp issued a tender seeking eight cargoes of liquefied natural gas (LNG) to be delivered to the Dhamra terminal on India's east coast, said industry sources.

 

The cargoes are to be delivered between June 2023 and May 2024.

 

Adani Group and French company TotalEnergies' newly built Rs 60 billion LNG import facility at Dhamra on the Odisha coast has already received its first ever shipment of LNG - a fuel that will be used to make steel, produce fertilizers and turned into CNG and cooking gas, helping change the landscape of Eastern India.

 

Qatari ship 'Milaha Ras Laffan' docked at Dhamra Port on April 1 morning, bringing in 2.6 trillion British thermal units of natural gas in its frozen form (LNG) which will be used to commission the facility, officials said.

 

Commissioning and testing operations will take up to 45 days and commercial operations are expected to start thereafter. The start of the 5 million tonne per annum LNG import terminal is crucial to Prime Minister Narendra Modi's plan to boost natural gas use in the country's energy mix to 15 per cent by 2030 from current 6.3 per cent.

 

Adani Total has a 20-year take-or-pay contract to provide regasification services to Indian Oil Corp for 3 million tonnes of LNG per annum at the Dhamra terminal. Government-run gas distributor GAIL (India) Ltd has a similar 1.5 million tonnes per annum deal with Adani Total.

 

Adani Total, in which French energy giant TotalEnergies SE has a 50% stake, said in February that it expects to receive 2.2 million tonnes of LNG at the Dhamra terminal during the year ending March 2024.

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