Another liquefied natural gas import terminal is on tap for India.
Metropolis Gas Corp. Ltd. (Metgas), a joint venture of Enron Corp. and Qatar Gas Co., plans to develop in partnership with Enron unit Dabhol Power Corp. a $700 million LNG receiving and regasification facility at Ratnagiri, Maharashtra state. It would import LNG from Qatar to feed Enron's huge Dabhol power project. The LNG project is to be completed within 3 years.
The regasification plant and LNG carrier jetty are expected to start operations when the 1,444-MW second phase of the 2,184-MW Dabhol power project goes on stream. Metgas is expected to set up an Indian unit to participate in the project.
Enron has secured Qatari LNG supplies totaling 2 million metric tons/ year for both phases of the Dabhol power plant. Fuel requirements have been worked out on the basis of a plant load factor of 90%.
The first phase of the Dabhol project will initially use naphtha or high-speed diesel and will switch to LNG around 2001, when the second phase goes on line after the regasification plant is commissioned.
Sources in India speculate-al- though Enron declined to confirm-that the long-term transportation agreements for the fuel have already been negotiated.
These reportedly would take the form of long-term LNG carrier lease agreements, spread over the license period of the power producer. Enron has a 20-year license from the Maharashtra State Electricity Board.
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