GDF Suez studies floating LNG unit off India | Oil & Gas Journal

A unit of GDF Suez is studying feasibility of a floating LNG regasification terminal offshore southeastern India for Andhra Pradesh Gas Distribution Corp. Ltd. (APGDC).

APGDC, a joint venture of state-owned GAIL Gas Ltd. and Andhra Pradesh Gas Infrastructure Corp. Pvt. Ltd., signed a project framework agreement with GDF Suez LNG UK Ltd. for the study of a regas terminal with capacity of 3.5 million tonnes/year, envisioning commissioning early in 2014.

The feasibility study is to be completed by yearend, followed by a final investment decision. GDF Suez, as a strategic partner, would have a 26% stake in the terminal with access to equity regasification capacities.

India’s Minister of Petroleum and Natural Gas, in a statement about the agreement, said shortage of natural gas in Andhra Pradesh has led to “underutilization of infrastructure, especially in the power sector.”

The problem extends to other parts of the country, said Petroleum Minister Shri S. Jaipal Reddy. “The need for gas in India cannot be overstated,” he said.

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