Petronet may go to Mangalore

Petronet LNG Ltd (PLL) is considering setting up a five million metric tonne per annum liquefied natural gas terminal at Mangalore in Karnataka.

The company had started commercial supply of regassified liquefied natural gas from its Dahej plant in Gujarat in the first week of April.

Petronet LNG is formed by a consortium of public sector oil majors. French gas company Gaz De France and the Gujarat State Petroleum Corporation Ltd also have stakes in the company.

A Petronet source said the company had earlier planned to set up the terminal at Kochi in Kerala, but the "discouraging attitude" of the state government has forced the company to take the project to Mangalore.

Cash break-even this FY: Petronet LNG expects to achieve cash breakeven by the end of the current fiscal year.

"We have started commercial supply of regassified liquefied natural gas in the first quarter of the fiscal year. The detailed feasibility report on the expansion of the Dahej project is getting ready for a formal approval from the company's board, Petronet director (finance), P Dasgupta said on Monday.

"Petronet is also set to achieve net breakeven by the end of fiscal 2005-06," Dasgupta said.