Qatar wraps up deal to supply gas to India

Published April 2nd, 2001 - 02:00 GMT

Qatar's mainly state-owned energy company Rasgas wrapped up its biggest-ever contract Sunday with two deals to supply liquified natural gas (LNG) to India, an official source said. 

 

Rasgas should start supplying LNG to India's Petronet company, which made a firm order in July 1999 for 7.5 million tones of LNG per year, over a period of 25 years, starting at the end of 2003. The gas will go to the Indian provinces of Gujarat in the west and Kerala in the south. 

 

A first deal was signed between Ras Laffan LNG (Rasgas), Japanese firms Chiyoda Corp. and Mitsui Co Ltd and the Italian firm Snamprogetti. 

 

The second contract was signed between Rasgas and the US company J. Ray McDermott Middle East Ltd. Rasgas did not give details on the size of the contracts, which cover the building of LNG production facilities. 

 

Rasgas had already signed a protocol agreement in August 1999 to supply 2.6 million tones of LNG per year over a period of 20 years to another Indian firm, Dakshin Bharat Energy Consortium. 

 

The Qatari company is owned by the state-controlled firm Qatar General Petroleum, which holds 63 percent of the outfit, with the US oil giant Mobil holding 25 percent, and the remainder held by Japanese and South Korean companies.—AFP. 

©--Agence France Presse 2001.  

 

© 2001 Mena Report (www.menareport.com)

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