GAIL (India) has earmarked $400 million for its new Singapore trading office to secure LNG and petrochemical product cargoes for delivery to India in 2012, Chairman and Managing Director BC Tripathi announced in Singapore today.
GAIL's Singapore office, which was inaugurated today but will begin trading next month on getting all formal approvals, will tie-up as much as $400 million worth of LNG cargoes and petrochemical products next year for delivery into India, he told PTI after addressing a press conference.
Ninety per cent of the trade would be in LNG from the initial start-up.
"India is a huge market for LNG and petrochemical products, while supply remains tight," stressed Tripathi, reaffirming GAIL's commitment to energy development both within India and globally through an annual investment of $2 billion.
He also disclosed that GAIL was building shale gas expertise through participation in projects in the United States.
"The company is building expertise in shale gas and will participate in the Indian shale gas projects once the government announces its policy and development plans," he said.
He said participation in US shale gas was a part of GAIL's strategy to develop technology, expertise and know-how.
GAIL, along with its international partners in existing projects, will aggressively bid for shale gas concessions in India once the government puts them up for auction, which is expected to take place in about one year.