GAIL (India) Ltd on Tuesday said it targets to foray into liquefied natural gas (LNG) shipping business post 2017. In July, the public sector company plans to invite expressions of interest (EoI).
B.C. Tripathi, Chairman and Managing Director of India’s biggest natural gas distributor said that around seven-eight LNG carriers would be available with the company in the next three-four years on a long term charter or ownership basis.
However, till 2017, GAIL would depend on spots cargoes on delivery basis. GAIL has signed long term agreements for 3.5 million tonnes per annum with US based Sabine Pass Liquefaction Company that would start in 2017-18. The company has also signed long term deal with Gazprom for 2.5 million tonnes a year from 2018-19.
Tripathi said that the company would import 34 cargoes in 2013-14 against 12 in the previous year.
Of this, 18 cargoes have already been tied up, while remaining would be sources from spot market. The supplies would be split between the terminal in Dahej and Dabhol.
Q4 Result
GAIL has reported 28 per cent increase in net profit during January-March 2013 to Rs 618 crore against Rs 483 crore in the months of previous year.
The increase in net profit is due to higher price realisation of petrochemical, liquid hydrocarbon and less subsidy outgo from the company.
During the fourth quarter of the current financial year, the natural gas sales were 80.13 million standard cubic meters per day (mmscd) as against 85.47 mmscd during the corresponding quarter of last year.
The natural gas transmission during the fourth quarter of 2012-13 was 99.49 mmscd against 115.62 mmscd in the corresponding period last year. During last quarter of 2012-13, the petrochemical production was 119,000 million tonnes, up 16 per cent from 103,000 million tonnes in the corresponding quarter last year.
The LPG transmission during the fourth quarter of 2012-13 was 745,000 million tonnes as against 879,000 million tonnes during the corresponding quarter in the previous financial year.