Petronet LNG to buy 1.5 MT a year from Exxon's Aus arm
Press Trust of India / New Delhi Aug 10, 2009, 19:56 IST
Petronet LNG, the nation's largest liquefied natural gas importer, today signed an agreement to import 1.5 million tons of LNG Australia.
Petronet signed a sales and purchase agreement (SPA) with the Australian subsidiary of Exxon Mobil Corp for buying 1.5 million tons a year of LNG for 20 years from the proposed Gorgon LNG project, a company press release said here.
"LNG cargoes will be delivered to a new (LNG import) terminal under construction at Kochi (in Kerala)," it said.
Documents formalising the SPA were signed in Perth by ExxonMobil's Luke Musgrave, Vice President - Australia LNG-- and Petronet Managing Director Prosad Dasgupta.
Petronet's Kochi terminal would be commissioned in 2011-12.
The company in May concluded term sheets for all agreements for buying 1.5 million tons a year of LNG from Exxon Mobil Corp for 20 years, beginning 2014.
Exxon has further stated it can sell another 1.3 million tons of LNG to Petronet but the Indian buyer has not yet committed to additional volumes as it has not tied-up consumers for that.
US energy major Chevron Corp is the operator of the Gorgon project with a 50 per cent stake while Exxon Mobil and Royal Dutch/Shell hold 25 per cent each.
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