The consortia of Mitsui, Exmar, MISC, and K Line are in fray to bag the shipping contract from Petronet LNG (PLL) to haul gas to its liquefied natural gas (LNG) terminals.

The new subsidiary will hold 49 per cent stake in such ventures and the ship owners and operators will hold the balance 51 per cent. The companies have been shortlisted through a global tendering process. Petronet, through its proposed shipping subsidiary, plans to have joint ventures with shipping companies and operators selected to transport gas for it.

PLL is also expected to award the engineering procurement contract (EPC) for its Kochi LNG terminal by end-June 2007, since the requirement of ships will arise only after the terminal is ready. The consortia, which have technically qualified for EPC are IHI, SN Technigaz, and Sofregaz. While, the construction of a terminal takes about four years, construction of a ship takes about two-and-half years. The Kochi terminal is expected to come up by 2010.

PLL plans to charter two LNG tankers of 1,65,000 to 1,75,000 cubic metre capacities each from ship owners and operators to ship gas to Kochi for 25 years.

Also See:

Petronet plans joint ventures with shipping companies (09-Apr-07)