Shell, GDF Likely to Pick Up 26% Stake Each in GAIL India's FLNG Terminal

Shell and GDF Suez are expected to pick up 26 percent stake each in GAIL India Ltd’s proposed FLNG terminal at Kakinada in the Indian state of Andhra Pradesh, Press Trust of India reported.

Andhra Pradesh Gas Distribution Corp (APGDC) – a joint venture of GAIL Gas, a subsidiary of GAIL India, and Andhra Pradesh Gas Infrastructure Corp (APGIC) will hold the remaining 48 per cent, sources told Press Trust.

An agreement to formalise the structure is likely to signed in next few days.

Andhra Pradesh government is pushing for an early start of work on the 3.5 million tons per annum floating storage and regasification unit (FSRU) off the Kakinada coast.

The partners will bring an FSRU, import gas in its liquefied form (LNG or liquefied natural gas) in ships to the terminal, pipe it to land and sell in Andhra Pradesh and beyond, Press Trust said.