GAIL Gas Limited, a wholly-owned subsidiary of GAIL (India), has joined hands with the Andhra Pradesh Government for setting up of an LNG terminal/ floating storage and re-gasification unit (FSRU) along the State's expansive sea coast.
A memorandum of understanding has been signed by the Andhra Pradesh Government and GAIL Gas.
The FSRU/ liquefied natural gas (LNG) terminal with a capacity of 3.5-5 million tonnes per annum will be set up around Kakinada/Vishakapatnam and is likely to be the first such facility on the East Coast with an estimated investment of Rs.5,000 crore.
The proposed facility would supply R-LNG, a preferred feedstock, for the power, industrial and other sectors to meet the growing needs of the State.Andhra Pradesh Gas Distribution Company Limited (APGDC), a joint venture between GAIL Gas and APGIC, will execute the project with the support of GAIL and the work will be completed by 2013-14.
