National Gas, Petredec sign pact to set up LPG storage facility in India

National Gas Company Oman SAOG (National Gas) has signed a partnership agreement with Petredec, a global LPG and other fuels trading & shipping conglomerate, to partner in their Indian subsidiary for setting up a large refrigerated LPG import and storage facility in the south eastern part of India.
This project is in line with National Gas Company’s vision to expand its footprint into newer geographies.
With India’s burgeoning LPG demand and India being a net LPG importing country, this project aims to bring credible LPG infrastructure easing strain on similar LPG storage facilities in the region thereby enhancing supply feasibility in the south eastern states of India.
The proposed facility is being setup at Krishnapatnam port, 180 kms north of the southern Indian city of Chennai. This port is the largest port in India by area and is well connected by air, rail and road channels. This is a state of the art, all weather, deep draft port strategically located near the largest LPG consuming markets in South India.
India is a strategic market considering the government’s impetus on promoting LPG usage and reducing use of hazardous cooking fuels as charcoal, firewood, and others.
“The growth in LPG demand in India would require one such storage facility every year to be constructed and National Gas sees the partnership with Petredec as an opportunity to not only expand together within India beyond the current project but even into newer geographies”, said Abdullah al Harthy, Chairman, National Gas Company SAOG.