Environmental nod given to Indian Oil’s LNG project in Tamil Nadu
New Delhi, July 7: The Rs 3,400-crore expansion project of IndianOil LNG Pvt Ltd’s Ennore terminal in Tamil Nadu has received environmental clearance from Union Ministry of Environment, Forest and Climate Change (MoEFCC).
The approval will allow the terminal’s regasification capacity to be doubled from 5 million tonnes per annum (MTPA) to 10 MTPA, strengthening the supply of natural gas to industrial and city gas consumers across southern India.
Located at Kamarajar Port in Ennore, the terminal was commissioned in 2019 as the first LNG import and regasification facility on India’s east coast.
The project was initially designed with provisions to expand capacity in line with future demand.
As part of the expansion, regasification capacity will increase from 20 million standard cubic metres per day (MMSCMD) to 40 MMSCMD.
The additional capacity is expected to meet rising demand for regasified LNG (RLNG) from industries, power plants, fertiliser units and city gas distribution networks in Tamil Nadu, Andhra Pradesh and Karnataka, according to a media report.
The project will be implemented within the existing terminal premises, eliminating the need for additional land acquisition. The expanded facility will also support supplies of piped natural gas (PNG) to households and compressed natural gas (CNG) for the transport sector.
According to the report, the expansion is expected to be completed in around 54 months. It is also aligned with the Centre’s target of increasing the share of natural gas in India’s primary energy basket from about 6 per cent to 15 per cent by 2030.
Apart from meeting domestic demand, the higher-capacity terminal is expected to strengthen India’s LNG infrastructure by enabling services such as LNG bunkering, break-bulk cargo handling and exports to neighbouring countries including Sri Lanka, Bangladesh and Myanmar. (BVI)
