Indian State of Andhra Pradesh Clears Two Major LNG Projects

Indian coastal state of Andhra Pradesh has cleared the way for implementation of two major LNG projects, reported The Hindu newspaper last week.

State’s cabinet cleared the LNG terminal and Floating Re-gasification and Storage Unit (FSRU) at Kakinada Deep Water Port by approving 26 per cent stake to the Shell on July 10. According to The Hindu, the cabinet also resolved a pending issue related payment of waterfront charges in another LNG project at Gangavaram port.

The Kakinada LNG terminal and FRSU was delayed over a decision to let both Shell and GDF-Suez have stakes in the project while the land based LNG terminal proposed at Gangavaram Port Ltd (developed in PPP mode) as a joint venture project with Petronet was held up due to a controversy over payment of waterfront charges to the port for importing LNG, according to the newspaper.