Petronet Interested in Mundra LNG Terminal Stake

Petronet LNG is interested in buying a 25 percent stake in a planned liquefied natural gas (LNG) terminal in Indian state of Gujarat, Reuters reportedits chief executive as saying.

The 5 million tonne per year terminal in Mundra is expected be commissioned in 2016 by Gujarat State Petroleum Corp. It holds a 50 percent stake in the project, while Adani group has 25 percent, Reuters said.

Essar, which held a 25 percent stake, has withdrawn from the project, the news agency added.

Petronet's A K Balyan said on Tuesday that the company would operate its LNG terminal in Kochi in Kerala state at 12 percent of capacity in 2013/14 due to "pipeline constraints", Reuters reported. It will process 4-5 spot LNG cargoes at Kochi during this fiscal year.

It plans to operate the terminal at about 75 percent of capacity in 2014/15.