Shell Installs Tanker Truck Loading Unit at India’s Hazira LNG

Shell has installed a LNG tanker truck loading unit at its 5mn t/yr LNG import terminal in Hazira on India's west coast, as the country focuses on expanding the use of LNG in remote areas without gas infrastructure.

"The unit will boost availability of natural gas in off-grid areas where there are no gas pipelines and also promote the use of LNG in long-haul trucking," oil minister Dharmendra Pradhan said.

Shell operated Hazira at a 93pc utilisation rate during April-November. State-controlled Petronet's 17.5mn t/yr Dahej import terminal's utilisation was 95pc. India plans to increase the share of natural gas to 15pc of its total energy mix by 2030 from the current 6pc.

India's LNG imports rose in December by just 1pc from a year earlier compared with 12pc growth in November, as surging rates in the spot market curbed purchases of immediate cargoes. Higher gas rates also pushed domestic demand lower. Imports at 2.78bn m³ of pipeline gas equivalent (2.15mn t) in December were lower from 2.89bn m³ in November and marginally higher from 2.76bn m³ a year earlier. The cost of LNG imports last month were $700mn, down from $800mn a year earlier.

Gross production of gas last month fell by 7pc to 2.42bn m³ from a year. Gas demand fell by 3pc to 5.14bn m³ from 5.29bn m³ a year earlier and from 5.16bn m³ in November. LNG imports covered 54pc of India's gas demand in December from 56pc in November.