GAIL extends LNG interest deadline
GAIL has extended till March 31 a deadline for LNG suppliers to respond to its â€کNotice for empanelment of parties for the supply of spot LNG’.
“Some companies have responded,†confirms GAIL. “A few asked for more time.
†GAIL’s earlier deadline for companies to show interest in signing a â€کMaster Spot Purchase Agreement’ was February 29. “We have received a good response but the overall picture will be clearer by March 31,†adds GAIL.
Sceptical observers think otherwise: “I don’t think GAIL has received a good response,†says one. “LNG prices are at an all time high.
No one is committing â€کspot’ cargoes. Japan’s largest nuclear power plant will remain shut for close to a year and they are buying all available gas at any price.
China has booked 45 spot cargoes till December 2008. Who will offer cargoes to GAIL if they can get a better price elsewhere†GAIL wants to buy LNG for the Dabhol plant in Maharashtra, which it jointly owns with NTPC through Ratnagiri Power.
