Indian IFFCO to Buy Equity in Swan's FSRU Project

After securing investments from Tata Group and government of Gujarat, Swan Energy January 30 informed the Bombay Stock Exchange that Indian Farmers Fertilizer Cooperatives Limited (IFFCO) is willing to invest up to 10% of the equity in its proposed floating storage and regasification (FSRU) project in Gujarat.

Swan Energy January 17 announced Tata Realty and Infrastructure has expressed interest in picking up 10% equity in the project. It would be the first investment in an energy project by Tata Realty, set up in 2007 and wholly-owned by Tata Sons, holding company of the Tata Group. Swan is building the FSRU in collaboration with Belgian shipowner Exmar, which has 38% stake in the project. The Gujarat government's stake is 26%.

ONGC, Indian Oil Corp and Bharat Petroleum Corp have already booked 60% of the capacity. The three India state-owned firms plan to import 1mn mt/yr of their own LNG and pay Swan a tolling fee.

Swan is proposing to develop a 5mn metric ton/yr LNG terminal with ancillary structures for its FSRU project at Jafrabad, Gujarat.

Shardul Sharma