IOC, GAIL eyeing African LNG stakes

Indian Oil Corp and GAIL Ltd are keen on picking up an equity stake in LNG projects in Africa to meet growing energy needs of the country, Oil Minister S Jaipal Reddy said Friday.

These companies are interested in farm-in opportunities in producing blocks in countries like Libya, Algeria, Egypt and Nigeria, he said.

With natural gas demand projected to double in five years, India is looking to tie-up long-term supplies of liquefied natural gas from Africa.

He said that during the next five years, India's demand for liquid petroleum products is projected to grow at the rate of 4.7%, while the demand for gas is expected to grow at 14%.

At present, natural gas accounts for around 10% of India's primary energy basket, as against the world average of 24%.