Petronet-LNG extends Dahej RFQ deadline

Vol 16, PW 3 (23 Aug 12) Midstream & Downstream

Don’t for a minute think Petronet-LNG isn’t serious about increasing capacity at its Dahej LNG terminal.

According to contractors, the semi-government controlled BSE-listed LNG importer could publish an EPC tender notice to increase Dahej capacity from 10m t/y to 15m t/y as early as December this year. Petronet-LNG directors approved the capacity expansion on December 26 last year and last week reluctantly extended the bid deadline for submission of RFQ documents from August 20 to 26, following requests from several interested bidders.

Among those to have bought RFQ documents - on sale since July 18 - are Samsung, CTCI, KazStroy, Punj Lloyd, Technip, Technimont and Toyo Engineering. “Petronet-LNG has split the expansion into two parts,” says a likely bidder.

“Part-I includes building two LNG storage tanks, each with a capacity of 160,000-cubic metres. Part-II is for the regasification facilities to handle the additional 5m t/y LNG.

” Some contractors express surprise at the decision to charge $1000 for the RFQs - Petronet-LNG’s way of discouraging non-serious bidders. “Last year 28 companies sent EoIs to GSPC for the proposed Mundra LNG terminal,” adds a source.

“Many of them probably didn’t qualify but their EoIs still have to be reviewed and this takes time.” Contractors predict Petronet-LNG will complete the RFQ and EoI process by November this year or at the very latest December.

If all goes to plan Petronet-LNG will be hoping to commission the expanded 15m t/y facility by mid-2016, assuming two months to receive bids, another two months to evaluate and award the contract, and 36 months for project completion. Directors approved the capacity expansion on December 26, 2011.