IndianOil seeks construction bids for 5-mtpa Ennore LNG terminal
30 March 2013 7:31 AM IST
State-owned Indian Oil Corporation (IOC) has called for bids for the construction of 5 million tonne per annum (mtpa) liquefied natural gas (LNG) import terminal at Ennore in Tamil Nadu. IOC is seeking expression of interest proposals for a lump-sum engineering, procurement and construction contract for the Rs 4,320 crore (LNG) import and re-gasification terminal.
Interested contractors have to submit EoIs by 16 April, the tender document said. The company plans to build the Rs 4,320 crore LNG import facility at Katupalli (Ennore) by 2016. The terminal will have an initial capacity of 5 million tonne per annum which can be expanded to 10 to 15 million tonne in future.
Tamil Nadu Industrial Development Corporation (TIDCO) may take a 5-10 per cent stake in the project in which IOC will hold majority stake.
IOC may offer 26 per cent stake in the project to a LNG supplier like Gazprom of Russia in lieu of gas supplies, industry sources said.
Ennore will be the third LNG terminal on the east coast with state-owned gas utility GAIL India building a facility at Kakinada in Andhra Pradesh and Petronet LNG Ltd setting up a 5 million tonne facility at Gangavaram in Andhra Pradesh.
Royal Dutch Shell also plans to set up a floating LNG terminal at Kakinada.
LNG is a natural gas that has been cooled down to liquid form, taking up just 1/600th of the volume in its gaseous state for ease of transportation by sea.
'To qualify bidders must have successfully completed an EPC contract for an LNG re-gasification terminal with minimum capacity of 2.5 million tons per annum or LNG liquefaction facilities of minimum capacity of 2.5 million tons during the last 10 years,' the tender document said.
The bidder, having a minimum annual turnover of $200 million during last three years and a net worth of at least $55 million, should have carried on its own design, engineering, procurement, construction, commissioning and project management for these facilities.
IOC also plans to lay 1,175 km of pipelines to transport gas imported at the Ennore LNG terminal to consumers.
The company had on 18 January submitted an expression of interest (EoI) to sector regulator Petroleum & Natural Gas Regulatory Board (PNGRB) for laying natural gas pipeline from Ennore to Nagapattinum in Tamil Nadu with spurlines to Madurai, Tuticorin and Bengaluru.
IOC, which operates 10 of India's 22 refineries and has a 30.8 per cent share of the nation's 213.18 million tonne per annum refining capacity, plans to invest Rs 56,200 crore during the 12th Plan (2012-17). Of this, Rs 3,592 crore is earmarked for diversification projects like LNG terminals.
BPCL TO IMPORT LNG FROM SPOT MKT TO BRIDGE DOMESTIC GAP
Bharat Petroleum Corp Ltd (BPCL) has sought bids from liquefied natural gas (LNG) suppliers for short-term import of the fuel to meet domestic demand.
BPCL plans to import LNG from the spot market to meet the deficit arising from fall in output from domestic natural gas fields. It wants to import LNG at Dahej terminal in Gujarat or at Kochi in Kerala.
The company has called for Expression of Interest by May 2 for signing a Master Sales and Purchase Agreement with LNG suppliers.
‘BPCL’s preferred mode of purchase of the spot cargoes would be through short notice tenders, which would be invited from panel of suppliers who have signed MSPA with BPCL,’ it said in the tender document. “BPCL may enter in to MSPA for a minimum period of five years.”
LNG is natural gas that has been cooled to become liquid for ease of shipping. At the import site, it is reconverted into gas, a process called regassification. The eligibility criteria include the applicant having a minimum annual turnover of $50 million and a networth of $25 million.
Bids have been sought from producers/suppliers of LNG from any of the existing LNG supply plants or from those who have a valid Sales and Purchase Agreement with an entity having an LNG liquefication project without any delivery and destination restrictions.
Suppliers who have traded at least 2 cargoes of capacity 75000 cubic meter each as spot cargoes or long term/short term of LNG during last one year or has an agreement with any existing LNG producer to market LNG on their behalf in India can also apply, the tender documents said.
Interested contractors have to submit EoIs by 16 April, the tender document said. The company plans to build the Rs 4,320 crore LNG import facility at Katupalli (Ennore) by 2016. The terminal will have an initial capacity of 5 million tonne per annum which can be expanded to 10 to 15 million tonne in future.
Tamil Nadu Industrial Development Corporation (TIDCO) may take a 5-10 per cent stake in the project in which IOC will hold majority stake.
IOC may offer 26 per cent stake in the project to a LNG supplier like Gazprom of Russia in lieu of gas supplies, industry sources said.
Ennore will be the third LNG terminal on the east coast with state-owned gas utility GAIL India building a facility at Kakinada in Andhra Pradesh and Petronet LNG Ltd setting up a 5 million tonne facility at Gangavaram in Andhra Pradesh.
Royal Dutch Shell also plans to set up a floating LNG terminal at Kakinada.
LNG is a natural gas that has been cooled down to liquid form, taking up just 1/600th of the volume in its gaseous state for ease of transportation by sea.
'To qualify bidders must have successfully completed an EPC contract for an LNG re-gasification terminal with minimum capacity of 2.5 million tons per annum or LNG liquefaction facilities of minimum capacity of 2.5 million tons during the last 10 years,' the tender document said.
The bidder, having a minimum annual turnover of $200 million during last three years and a net worth of at least $55 million, should have carried on its own design, engineering, procurement, construction, commissioning and project management for these facilities.
IOC also plans to lay 1,175 km of pipelines to transport gas imported at the Ennore LNG terminal to consumers.
The company had on 18 January submitted an expression of interest (EoI) to sector regulator Petroleum & Natural Gas Regulatory Board (PNGRB) for laying natural gas pipeline from Ennore to Nagapattinum in Tamil Nadu with spurlines to Madurai, Tuticorin and Bengaluru.
IOC, which operates 10 of India's 22 refineries and has a 30.8 per cent share of the nation's 213.18 million tonne per annum refining capacity, plans to invest Rs 56,200 crore during the 12th Plan (2012-17). Of this, Rs 3,592 crore is earmarked for diversification projects like LNG terminals.
BPCL TO IMPORT LNG FROM SPOT MKT TO BRIDGE DOMESTIC GAP
Bharat Petroleum Corp Ltd (BPCL) has sought bids from liquefied natural gas (LNG) suppliers for short-term import of the fuel to meet domestic demand.
BPCL plans to import LNG from the spot market to meet the deficit arising from fall in output from domestic natural gas fields. It wants to import LNG at Dahej terminal in Gujarat or at Kochi in Kerala.
The company has called for Expression of Interest by May 2 for signing a Master Sales and Purchase Agreement with LNG suppliers.
‘BPCL’s preferred mode of purchase of the spot cargoes would be through short notice tenders, which would be invited from panel of suppliers who have signed MSPA with BPCL,’ it said in the tender document. “BPCL may enter in to MSPA for a minimum period of five years.”
LNG is natural gas that has been cooled to become liquid for ease of shipping. At the import site, it is reconverted into gas, a process called regassification. The eligibility criteria include the applicant having a minimum annual turnover of $50 million and a networth of $25 million.
Bids have been sought from producers/suppliers of LNG from any of the existing LNG supply plants or from those who have a valid Sales and Purchase Agreement with an entity having an LNG liquefication project without any delivery and destination restrictions.
Suppliers who have traded at least 2 cargoes of capacity 75000 cubic meter each as spot cargoes or long term/short term of LNG during last one year or has an agreement with any existing LNG producer to market LNG on their behalf in India can also apply, the tender documents said.
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