The Hindu Business Line : Myanmar gas: India works out route bypassing Bangladesh

India, which has been facing competition from China for gas from Myanmar, has presented eight alternative routes including one via North-Eastern part of the country that excluded Bangladesh.

A high-level Indian delegation recently made presentation before the A-1, A-3 offshore block partners and the Myanmar Government in Yangon on as many as eight alternative routes including by land and sea for importing gas. Sources told Business Line that Mr B.S. Negi, Director (Business Development), GAIL (India) Ltd, made a presentation on the route preferring North-Eastern territory. The detailed report submitted at the meeting proposes routing the pipeline through the Indian States of Mizoram, Assam, Bihar and West Bengal. The pipeline will also have the provision to transport gas from developing gas fields in Tripura and Assam, sources said.

Belgian consultants

The detailed feasibility report (DFR) for a Myanmar-India gas pipeline bypassing Bangladesh and pre-feasibility report of the other proposed alternative routes was done with the help of SUZ Tractebel of Brussels (Belgium) as technical consultants.

Bringing gas through Bangladesh had become a thorny issue, which had in fact stalled the whole process and led to Myanmar favourably considering a request for large gas supplies to China after repeatedly urging India to speed up alternative plans including setting up power projects near the gas fields.

At the meeting, GAIL, which is the preferred buyer of gas from Block A-1 had made presentations of the various options for import of gas — three land routes and three sea route options — besides bringing the gas as liquefied natural gas (LNG) and compressed natural gas (CNG). Sources said that out of these eight options two included routes through Bangladesh.

GAIL (India) Ltd and ONGC Videsh Ltd hold 30 per cent stake in two exploration blocks — A-1 and A-3 — offshore Myanmar. Daewoo International Corporation with 60 per cent stake is operator of both blocks. South Korea's Korea Gas Corporation holds the remaining 10 per cent stake.

Asked whether any deliberations took place on the pricing of the gas, sources said, the issue of pricing would now be discussed. By last week of June Myanmar is expected to get a detailed feasibility report commissioned by it on the route and other aspects of the deal, sources added.

Besides its own share of gas from the A-1 block in which so far Myanmar has announced 2.88 to 3.56 trillion cubic feet of in-place gas reserves, India is keen to get additional gas supplies to make the import plans more feasible and help bridge the growing shortfall of the clean energy fuel available in the country.

More Stories on : Petroleum | Foreign Trade | Foreign Relations

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Akshaya Tritiya spells gold rush for banks

Social security funds - need of the hour

Cellphones may rock MP3 player sales

Bharti keen to offer services in Gabon

IA going for syndicated ECB to fund aircraft buys

Duty exemption allowed under new import authorisation scheme

Indo-Pak grey market trade worth $965 m in 2005-06: Study

IT/ITES driving realty, telecom, hospitality sectors

Myanmar gas: India works out route bypassing Bangladesh

Revised norms dim rural electrification

Fate of UP sugar policy hangs in balance

Momentum to continue