Philippine AG&P Plans Southeast India LNG Terminal

Atlantic, Gulf and Pacific (AG&P) has signed an agreement with India’s Karaikal Port to develop an LNG import terminal at the port, including LNG sourcing and supply, it said November 6.

Philippines-based AG&P has also executed an exclusivity agreement to supply LNG to PPN Power, the largest non-state power project in the southern Indian state of Tamil Nadu.

Commissioned in 2009, the Karaikal Port is a deep-water port located in southeast India. As part of its expansion beyond commercial cargoes, the port allocated an area within its existing breakwater to develop an LNG terminal to serve power, industrial and other customers in the region. Environmental approval for this LNG terminal development was received in May 2017.

“Karaikal Port is a center of trading for southeast India and is crucial to the region’s GDP. With the addition of AG&P’s LNG import terminal, Karaikal Port will continue to be an engine of growth for the region’s future,” said GRK Reddy, chairman of the port's operator KPPL.

Development of AG&P’s LNG import terminal at Karaikal Port would complement the LNG terminal now under construction by Indian Oil at Ennore 300km to the north and will provide wider gas accessibility to the Tamil Nadu city of Puducherry (formerly known as Pondicherry), added AG&P.

At present, all the four LNG terminals in India are located on the west coast. However, a number of new terminals are expected to come up on the east coast in the next few years. 

PPN Power says it runs a 330.5 MW power plant that runs on either natural gas or naphtha.

Shardul Sharma