Petronet won't buy 25% stake in Mundra LPG, makes way for IOC to buy 50%

GSPC first offered its 50% stake in the Mundra project to IOC, but the company was willing to take not more than 25-26%

Petronet LNG Ltd has dropped plans to buy 25 per cent stake in GSPC's almost-complete Rs 4,500-crore Mundra LNG import terminal in Gujarat to allow its promoter IOC to pick a larger stake, a company official said.

State-owned Indian Oil Corporation (IOC) has been talking to Gujarat State Petroleum Corporation Ltd (GSPC) for almost two years now for acquiring 50 per cent stake in the 5-million tonne (mt) a year Mundra liquefied natural gas (LNG) import terminal.

Petronet, India's biggest gas importer, entered the fray earlier this year. It is keen on buying a stake in IOC's under-construction 5-mt a