The Asian Development Bank (ADB) will provide a US$ 150 million loan to Petronet LNG Ltd to increase the capacity of the company’s liquefied natural gas (LNG) terminal in Gujarat state, India. The aim of this expansion is to help reduce the unmet energy demand in India, which has been one of the major problems facing efficient economic growth.
“The expanded terminal will help India move toward its target of greater natural gas use, thereby enhancing its energy security and shifting to cleaner forms of energy,” said Siddhartha Shah, principal investment specialist at ADB’s Private Sector Operations Department.
The project, which will increase the supply of natural gas to 15 million tpa from the current 10 million tpa, will help meet demand for compressed natural gas for transportation, piped gas to households, fuel for gas power plants, and feedstock for fertilizer plants, mainly in north and west India.
The additional supply will equate to a reduction in the emission of approximately 3.15 million tpa of carbon. ADB helped finance Petronet LNG’s first terminal through an equity investment in 2004.
Adapted from press release by Katie Woodward
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/17122013/loan_enables_petronet_expansion_582/