MoU signed for Rs.3,000 crore LNG terminal at Krishnapatnam port

Krishnapatnam port in Andhra Pradesh's Nellore district has signed an MoU with Petrogas Pvt. Ltd. and the Andhra Pradesh government for setting up a LNG Regassification Terminal.

Petrogas, a JV of Isomeric Holdings Sdn Berhad and Vijayawada-based LEPL Ventures Private Limited, will commit a direct investment of Rs.3,000 crore at Krishnapatnam in LNG Regassification Terminal and allied industries.

Officials of Krishnapatnam Port, Petrogas and the state government signed the MoU here in the presence of Chief Minister N. Chandrababu Naidu during the CII partnership Summit.

The LNG Terminal will use a state-of-the-art Floating Storage and Regasification Unit (FSRU) with a minimum capacity of 5 million tonnes per annum (mtpa) which will be doubled to 10 million MT in another three years time, according to a statement from the port authority.

The commercial operations for the project will commence within three years and is expected to create more than 500 job opportunities.

Krishnapatnam Port Company Ltd managing director Chinta Sasidhar said that the infrastructure story of Andhra Pradesh is set on a promising horizon and projects of such scale will only provide significant boost to the country's trade potential apart from creating immense job opportunities.