India’s Petronet launches Dahej LNG expansion

India’s largest LNG importer, Petronet LNG, has launched an additional 5 mtpa capacity at its Dahej LNG terminal in western Gujarat state.

Petronet said in a stock exchange filing on Wednesday that facilities related to the expansion of the Dahej LNG terminal from 17.5 to 22.5 mtpa have been commissioned at 23:30 hrs on March 31.

The company did not provide further details.

In February, Petronet’s management confirmed that the company still expects to launch the additional 5 mtpa capacity at its Dahej LNG terminal by the end of March.

Petronet’s executives previously stated that the additional capacity would be available by March 2025, but later revised this to June last year, then to the end of last year, and to March this year.

The Dahej LNG terminal is India’s largest LNG import facility. It has eight LNG storage tanks, while Pertonet is also building a third jetty.

The launch comes amid the Middle East conflict and force majeure on LNG supplies.

Petronet issued a force majeure notice on March 3 to its offtakers, including its shareholder GAIL, after it received a notice from state-owned LNG giant QatarEnergy, which stopped production at its giant Ras Laffan LNG plant due to attacks.

QatarEnergy recently said that it expects the damage to its Ras Laffan complex caused by missile strikes to cost about $20 billion a year in lost revenue and to take up to five years to repair, impacting supply to markets in Europe and Asia.

Last month, the Indian government invoked emergency measures, prioritizing gas allocation to essential sectors amid the disruption of LNG shipments through the Strait of Hormuz.

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