NTPC to buy 26% stake in the Gujarat Pipapav Liquified Natural Gas

NTPC to buy 26% stake in the Gujarat Pipapav Liquified Natural Gas
PRESS TRUST OF INDIA

MUMBAI, APR 25: National Thermal Power Corporation Ltd (NTPC) will sign a joint venture agreement to pick up 26 per cent stake in the Gujarat Pipapav Liquified Natural Gas Ltd's Rs 2,500 crore LNG terminal coming up at Pipavav next month.

"NTPC is likely to sign the JV to pick up a 26 per cent stake in the Dahej LNG terminal project, which will have a capacity of five million tonnes per annum, next month", NTPC's Western Region project executive director R D Gupta told newsmen here today.

Other stake holders in the project are British Gas (25 per cent), Sea King (25 per cent) and the balance would be picked up by financial institutions, Gujarat government or Gas Authority of India Ltd (GAIL).

Gas production was expected to start in July 2003, he said adding the terminal would function as a storage and regassification centre. Nearly 1.5 million tonnes of the gas would be supplied to Kawas and Gandhar plants. These plants would, till then, use naphta as an alternative to LNG.

Engineering Procurement and Construction contractors and gas suppliers have already being short listed, an NTPC official said adding, various other things were in the work-out stage. Another terminal was also being set up at Cochin with acapacity of 2.5 million tonnes, he said.