Petronet said in a stock exchange filing that its board accorded in-principle additional investment approval for setting up a 5 mtpa land-based LNG terminal from the earlier approval of a 4 mtpa FSRU-based LNG terminal for an incremental project cost of 40.48 billion rupees ($468 million), including taxes and duties.
According to Petronet, the overall approved value of the project is 63.54 billion rupees ($734 million).
Petronet noted that this is the company’s first greenfield LNG terminal on India’s east coast.
The company expects to add the proposed capacity in about three years.
Petronet plans to finance the construction of the terminal via debt and equity.
The company did not provide further information.
In April this year, Petronet signed a memorandum of understanding with the government of Odisha to build the onshore LNG terminal in Gopalpur.
In 2023, the firm executed binding deals with Gopalpur Ports for its first LNG terminal on India’s east coast.
Petronet and Gopalpur Ports signed sub-concession agreement, sub-lease deed, and port service agreement for the first phase of the 4 mtpa FSRU-based terminal, with provision for converting to a 5 mtpa land-based terminal at the port, the firm previously said.
Petronet currently operates the 17.5 mtpa Dahej LNG terminal and the 5 mtpa Kochi LNG terminal.
The company is also adding 5 mtpa capacity to the Dahej LNG facility.
