The Hindu Business Line : 10 cos bid for gas supply to NTPC Kayamkulam project

NATIONAL Thermal Power Corporation's (NTPC) search for a gas supplier for its proposed 2300 MW Kayamkulam plant in Kerala has yielded 10 bidders, according to the NTPC Chairman and Managing Director, Mr C.P. Jain.

These include BP Plc, BG Group, Ras Lafffan, Petronas, Reliance Industries Ltd, Yemen LNG, GAIL (India) Ltd, Shell Eastern, Indian Oil Corporation and Petronet LNG Ltd (PLL). At present, the Kayamkulam plant has a capacity of 350 MW.

Speaking to presspersons here on Thursday, Mr Jain said that today was the last date for submission of bids for the first round of tendering for supply of 2 million tonnes of liquefied natural gas (LNG) or natural gas for NTPC's Kayamkulam project. Delivery of gas at the power station through the LNG route involves supply of LNG as well as its regassification.

In the case of regassification and terminal services, six offers have been received. These are BG, which has offered its proposed Pipavav LNG import terminal, Petronet's Dahej terminal, Shell's Hazira terminal (through two bids — Shell Hazira and Hazira LNG) and Indian Oil Corporation's proposed Kakinada LNG import terminal in Andhra Pradesh and GAIL. The Kakinada terminal is being set up in consortium with Petronas of Malaysia. On the natural gas supply front, Reliance Industries has offered to supply 2.72 billion cubic metres of gas per annum from this year from its Bay of Bengal field.

GAIL (India) Ltd has offered LNG from Iran and has bid with support from National Iranian Oil Company.

According to officials, Petronet LNG and Ras Laffan of Qatar are likely to bid together at the time of technical and price bids, which are likely to be invited by December.

The bid for the Kayamkulam project is the second of its kind, following a recent one issued for the supply of three million tonnes of LNG for NTPC's proposed 2600 MW capacity addition at Kawas and Gandhar in Gujarat.

For Kawas and Gandhar, the contenders are Shell, Petronas and Yemen LNG for LNG supply and Shell, Petronet LNG Ltd for the regassification and terminal services. Reliance has offered natural gas supply from its fields in the Krishna Godavari basin in Andhra Pradesh.

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