Petronet LNG and Qatar Energy extend Liquefied Natural Gas (LNG) supply deal for another 20 years beyond 2028

Link copied successfully!

New agreement between India and Qatar, inked during the ongoing India Energy Week 2024 in Goa, is pursuant to extension of an existing long-term contract for LNG supply, signed in 1999 for supplies till 2028.
- Under new agreement, LNG supply of 7.5 million metric tonnes per annum will be commencing from 2028 till 2048.
- Indian companies also have term contracts for LNG in Australia and UAE.

Significance of agreement
- Promote Gas Based Economy by increasing the share of gas in energy mix from 6% to 15% by 2030.
- Ensure continued supplies of regasified LNG to major consuming sectors like fertilisers, city gas distribution, refineries, power generation etc.
- Reduce import bills as Natural gas is cheaper and cleaner fuel than crude oil. Thus, it is a more affordable alternative to imported crude oil.

LNG is a clear, colourless, non-toxic liquid which forms when natural gas is cooled to a liquid state, at about -260° Fahrenheit (-162^oCelsius), for shipping and storage.

Initiatives taken to promote Natural Gas
- LNG terminals at Dahej, Hazira and Mundra (Gujarat), Dhabol (Maharashtra), Kochi (Kerala) and Ennore (Tamil Nadu).
- One Nation One Gas Grid Project to increase availability of natural gas across country.
- Gas4India campaign.

It is one of the fastest growing world-class Public Limited Company in Indian energy sector.
It is a joint venture of Oil and Natural Gas Corporation, Indian Oil Corporation Limited, GAIL (India) Limited, and Bharat Petroleum Corporation Limited.

Tags: