The Dahej LNG terminal is India’s largest LNG import facility, with a current capacity of 17.5 million tonnes per annum (mtpa).
The facility has eight LNG storage tanks, while Pertonet is also building a third jetty.
Petronet’s executives previously stated that the 5 mtpa additional capacity at the Dahej terminal would be available by March 2025, but later revised this to June this year and then to the end of this year.
In November last year, Petronet’s finance chief Saurav Mitra said that the company plans to complete the expansion by the end of financal year 2026 (March 2026).
Mitra confirmed this timeline during Petronet’s quarterly earnings call on Friday.
“We will be mechanically completing the construction by the end of this financial year,” he said.
Asked about how much of that capacity would be utilized, he said that “we are already talking to many of the customers, and these are all at advanced stages.”
“And.. we have signed, you know, agreements with MGL for, you know, servicing their cargos and buying cargos on their behalf,” he said.
Petronet and Mahanagar Gas (MGL) recently entered into a master agreement under which Petronet will undertake procurement of LNG cargoes and sell regasified LNG to MGL.
“So slowly and slowly, we will try to match the ramp-up capacity with our customers, lining up customers for better utilization of the terminal,” Mitra said.
He said there is an increasing gas demand, which is “evident from the performance of both the terminals at Dahej and Kochi.”
“So with favorable gas prices, which we are expecting in the coming years, because of you know, lot of liquefaction facilities coming up in Middle East, US, Mozambique. So there will be affordable LNG in the market, and it will definitely increase the gas consumption in the country,” he said.
Mitra also answered a question on whether Petronet will buy more LNG under long-term deals from the US.
“Yesterday, during the press meet, our MD has already clarified that such a deal is only possible if, you know, LNG is available at an affordable price,” he said.
