INSUBCONTINENT EXCLUSIVE:
on Saturday said some of its customers have deferred imports of spot liquefied natural gas (LNG) due to high prices, which have made
supplies under long-term deals more attractive."Some people are tapering purchases and rescheduling cargoes," A.K
Singh, managing director of Petronet LNG said at a news conference
High spot LNG prices are not sustainable and India will 'definitely' sign long term deals, he said.Petronet has a deal to buy 7.5 million
tonnes per year (mtpa) of LNG from Qatar and 1.44 mtpa from Exxon's Gorgon project in Australia.Asian spot LNG prices are hovering at
about $16 per million British thermal units, while supplies under long-term deals are costing about $10/mmBtu, he said
He said the Indian power sector reduces LNG intakes if prices rise about $10/mmBtu.India aims to raise the share of natural gas in its
The country also plans to use of hydrogen in some sectors
Singh said in the short-run hydrogen use will not impact LNG demand."Today, the cost of hydrogen production is very high and also
transportation and distribution is a challenge
it is an emerging fuel whereas LNG is an established fuel," he said
India has allowed use of the super cooled gas in transportation to cut the use of diesel.Singh, whose company aims to set up 1,000 LNG
dispensing stations in 4-5 years, hoped India would be able to emulate China's model, where its vast truck fleet is migrating to LNG from
