Reuters is reporting that Indian gas utility Gail has switched its LNG purchasing focus to short-term and spot deals in order to meet rising demand and hedge against price volatility.
This move away from long term deals has arisen as India continues to build infrastructure, including pipelines and import facilities, to raise the share of gas in its energy mix to 15% by 2030 from the current level of approximately 6.5%.
Gail’s chairman, B.C. Tripathi, recently announced: “… the market is moving from long-term (deals) to short term and spot. So we are buying short-term and are also looking at the swap (deals).”
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/24052018/gail-to-switch-lng-purchasing-focus/