Under the terms of the MoU, AG&P will provide an integrated solution to deliver regasified LNG through a new LNG import terminal. The company will also design and construct the terminal at the port in Andhra Pradesh.
The agreement was signed at the Partnership Summit 2017 organised by Confederation of Indian Industry (CII). It will ensure energy supply to power producers, fertiliser plants, cold storage and other industries in Andhra Pradesh and other markets along the east cost.
Speaking at the signing ceremony, C. R. Prasad, the Chairman of HLNG, said: “Andhra Pradesh is the ideal place for developing an LNG import facility to serve the growing energy demands of the east coast of India where existing gas-fired power projects urgently need a reliable supply of LNG. The partnership with AG&P will provide a strong platform to develop a fast-track and low-cost LNG import solution that enables the region to continue on its growth trajectory.”
AG&P will be responsible for the design and construction of all necessary facilities for the import terminal. These include a floating storage and mooring system, a regasification terminal, related utilities, and the provision of tolled gas to power plants and other users. The company will also carry out any necessary conversion works and, upon commissioning, ongoing operations and maintenance activities.
Jose P. Leviste, Jr., Chairman of AG&P, said: “It is a great privilege for AG&P to help implement India’s vision for clean, low-cost, flexible and reliable power. Andhra Pradesh is playing a critical role in manufacturing and trade. The state and its people are on a strong, upward trajectory. We see the provision of tolled gas to supply power and fuel to factories, homes and even transport in an environmentally clean way as crucial elements of Andhra Pradesh’s future. We are honoured to be a part of this exciting phase of the state’s development.”
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/30012017/agp-signs-mou-with-hindustan-lng-to-build-lng-terminal-in-india/