Dahej expansion

Vol 15, PW 10 (17 Nov 11) News in Brief

Petronet-LNG is expected to complete a Detailed Feasibility Report (DFR) this month on a proposed capacity expansion at its Dahej LNG terminal in Gujarat, from 10m t/y to 15m t/y.

PETROWATCH learns a Petronet-LNG in-house technical team is expected to complete the DFR by end-November, after which it will be presented to the company board for approval. “There is no date fixed yet but the board is likely to meet by early December,” we learn.

Board directors must decide whether they want to invest in up to three additional LNG storage tanks, each with a capacity to hold 148,000 cubic metres of LNG, or only in new regasification facilities. Petronet-LNG has four such storage tanks at present.

Additional expensive tanks are not necessary for the expansion if all R-LNG can be supplied swiftly to customers. Petronet-LNG’s commercial department has carried out a market assessment and is satisfied there is enough gas demand to support the expansion project.