BPCL examines Swan FSRU for Mozambique LNG
Gas from Anadarko’s Rovuma basin discovery off Mozambique could eventually end up supplying homes and businesses in Punjab.
Bharat Petroleum, which partners Anadarko at deepwater block Offshore Area-I, last month began due diligence of Swan Energy’s proposed Pipavav FSRU off Gujarat to decide whether to take a stake. BPCL wants to import Mozambique LNG at Pipavav from where it can be regasified into R-LNG and transported through the upcoming 1670-km pipeline from Mehsana in Gujarat to Bhatinda in Punjab.
“We want to bring Mozambique gas to India,” confirms a BPCL source. “The African market is not promising.
” Anadarko last month announced Offshore Area-1 could hold up to 60-tcf total recoverable gas. “But the upside for total in-place gas at discovered reservoirs is approaching 100-tcf,” we hear.
Anadarko wants to set up a liquefaction facility in Mozambique to export LNG and wants to commission the first 5m t/y train by 2018 and another 5m t/y train by 2020. BPCL says a Final Investment Decision will be taken next year.
Swan’s proposed 3m t/y to 4.5m t/y FSRU at Pipavav is scheduled to be ready in 2014. BPCL is already part of the Gujarat State Petronet (GSPL)-led consortium implementing the Mehsana to Bhatinda pipeline project.
Earlier this month (July), GSPL began in-house due diligence on the Pipavav FSRU. It is likely the pipeline consortium of GSPL, BPCL, Hindustan Petroleum and IndianOil might jointly take a combined stake in the FSRU but this is yet to be confirmed.
“We will not take a stake alone,” says GSPL. “We will go ahead at Pipavav only if BPCL agrees to go ahead.
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