BPCL to Strengthen its LNG Portfolio

Indian state owned energy company BPCL plans to plans to strengthen its LNG portfolio by tying up additional long-term gas import contracts, according to DNA India newspaper.

In addition to signing more long term contracts, BPCL also intends to acquire new LNG terminals and lay pipelines to enable smooth transport.

"We are looking at international commitment as far as long-term gas import is concerned. In the next few months, we could tie up 1-2 mt long-term gas contract, which would then hit the market through these terminals and use pipeline network to reach customers," S Varadrajan, chairman and managing director, said in a press meet, reported DNA.

BPCL plans to take substantial portion of gas from Kochi LNG terminal when its expansion is complete and it is connected with a pipeline. The company will add 1 mt capacity at Dahej LNG terminal.

Currently, the company has a gas contract with Rasgas, which receives gas through Dahej terminal. Gas will be coming to Kochi terminal after 2017, which will take care of the gas requirement of the company's refinery and upcoming petrochemical capacity, DNA said.

"We are looking at acquiring terminal capacities both at east and west coast. We are looking at a capacity 1-3 mt to satisfy our long-term demand," Varadrajan said.