Site to be relocated for LNG terminal within Mundra port

Kolkata: The Gujarat State Petroleum Corporation (GSPC) and Adani group have finalised partial re-location of the site for the proposed 7.5-million tonne LNG terminal within the Mundra Port and SEZ area.

“We have finalised the new location of the proposed terminal within the MPSEZ and initiated the soil testing. Since it is a partial re-location, we are hopeful that much of the progress made in preparing the detailed feasibility report and front-end engineering and design (FEED) studies so far will not go waste,” a senior GSPC official said. The previous location was also within the SEZ.

The company targets to initiate the tendering process for engineering procurement and construction (EPC) contracts this year. Though GSPC officially maintains that the targeted timeframe for project completion is 2010-11, sources admit that considering the time lost in finalising the location, the project may not be onstream before 2012.

GSPC holds 50 per cent controlling stake in the project. Adani group holds 25 per cent participatory interest.

On the possibility of IndianOil picking up the residual 25 per cent stake in the terminal, sources say that IOC had expressed its due interest to take part in the project.

Adani Energy and IOC have already joined hands to implement city gas distribution projects (CGD) in six States in the country. “IOC has expressed its interest to take part in the project. We are open to such proposals. Right now, we (GSPC and Adani) are focusing on implementing the project on a fast-track basis,” the source said.