Sample News Story
Hindustani Petroleum confirms plans for Mangalore LNG terminal
09/12/2004
India's state-owned refiner and retailer Hindustan Petroleum Corporation (HCPL) has confirmed that it plans to build a 2.5 mtpa LNG import terminal in collaboration with Mangalore Refinery and Petrochemicals (MRPL) at cost of around $560 million.
"The project may have an initial capacity to import 2.5 mtpa of LNG and could later be expanded to 5 mtpa. It is currently in the late feasibility stage, while the land has already been requisitioned," M B Lal, chairman of HPCL said. He said with the setting up of the LNG terminal, HPCL would have a presence in the domestic gas market. The terminal, which would be completed in 2-3 years, would be built at Mangalore on the southwestern coast of India where MRPL has a refinery. HPCL holds a 17% stake in MRPL, while state-owned Oil and Natural Gas Corporation holds 72%.
The source of LNG for the terminal has not been worked out yet, but the companies are considering options to import from Yemen, Oman, Qatar or Iran. Lal said ONGC and MRPL will handle procurement of natural gas, while HPCL will take care of the its marketing.