India’s top gas importer Petronet LNG Ltd wants Qatar Gas to lower prices for it to renew a long-term liquefied natural gas (LNG) import deal beyond 2028, its CEO Akshay Kumar Singh said on Thursday. The company in the immediate term is looking to tie up 0.75 to 1 million tonnes of LNG to meet the burgeoning energy demand in the country, particularly of the city gas sector.
In a call with journalists, Singh said Qatar sells 7.5 million tonnes a year of LNG to India at an indexation of 12.67 per cent of the prevailing Brent price plus USD 0.52 per million British thermal unit. (At USD 100 per barrel oil price, the LNG price comes for USD 13.19 per mmBtu). Petronet also buys an additional 1 million tonnes of LNG at a slight variation to this price. The 8.5 million tonnes a year contract ends in 2028.
“They (Qatar Gas) have contracted to our neighbouring countries including Bangladesh, China and Pakistan at a lower slope (than 12.67 per cent).
