Gail Looking to Swap U.S. LNG Supplies to Save on Transport Costs
Posted on Jul 20, 2015 in Liquefaction, Markets and Competition | Comments Off on Gail Looking to Swap U.S. LNG Supplies to Save on Transport Costs
To save on LNG transportation costs, India’s state-owned gas utility GAIL (India) Limited (GAIL) is looking to “swap” one-third of its U.S. LNG supplies (1-2 million tonnes/year) for LNG supplies that are located closer to India, most likely from the Middle East, East Africa, or the Asia-Pacific region. According to The Times of India report, if approved by GAIL’s Board, GAIL plans to issue tender for the swap in August. GAIL is party to contracts for the purchase of LNG from Cheniere Energy’s Sabine Pass LNG terminal in Cameron Parish, La. and from Dominion Resources’ Cove Point LNG terminal near Lusby, Md.