The Atlantic, Gulf and Pacific Company (AAG&P), the leading global integrator of LNG infrastructure solutions, and Hindustan LNG (HLNG) have signed a MoU to build a new import terminal in Andhra Pradesh.
The agreement paves the way for delivery of low-cost tolled gas to power plants and other users across India's east coast, the two companies said on Monday.
AG&P will provide an integrated solution to deliver regasified LNG through a new LNG import terminal that AG&P will design and build at the port in Andhra Pradesh.
This will offer fully integrated solution for delivering tolled gas in India, including design, construction, financing, operations and maintenance of the new terminal, which will ensure a reliable and low-cost supply to power producers, fertilizer plants, cold storage and other industries in Andhra Pradesh and other markets along the east coast, the AG&P said in a statement.
"Andhra Pradesh is the ideal place for developing an LNG import facility to serve the growing energy demands of the east coast of India where existing gas-fired power projects urgently need a reliable supply of LNG.
"The partnership with AG&P will provide a strong platform to develop a ast-track and low-cost LNG import solution that enables the region to continue on its growth trajectory," said C.R. Prasad, chairman of HLNG.
AG&P will be responsible for designing and building all the required facilities for the import terminal, including a floating storage and mooring system, regasification terminal, related utilities and the provision of tolled gas to power plants and other users.
"We see the provision of tolled gas to supply power and fuel to factories, homes and even transport in an environmentally clean way as crucial elements of Andhra Pradesh's future," said Jose P. Leviste, Jr., chairman of AG&P.
--IANS
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