Petronet LNG, India’s largest importer of natural gas, is seeking a loan of at least Rs 1.2 lakh crore (USD 1.4 billion) to finance the development of a new petrochemical complex in Dahej, Gujarat, and an LNG terminal at Gopalpur, Odisha.

The move represents one of the company’s largest fundraising efforts to date, with local lenders including Axis Bank, State Bank of India, and Union Bank of India reportedly considering participation. According to sources, Petronet has appointed SBI Capital Markets as an adviser and is currently inviting loan bids either individually or in groups. The petrochemical project is projected to cost Rs 20,685 crore, as per the company’s website, and is part of Petronet’s strategy to diversify beyond its core LNG business.

The loan is expected to carry a tenor of over 10 years, and its pricing may be lower than SBI’s current one-month marginal cost of funds-based lending rate. If completed, the deal would rank among the largest local-currency loans in India this year.