INOX Signs LNG MoU With Shell Energy

INOX India Pvt Ltd has signed a Memorandum of Understanding with Shell Energy India Pvt Ltd, a subsidiary of Royal Dutch Shell, for partnering and developing the market for LNG supply from Shell’s LNG Terminal in Hazira (District Surat), Gujarat.

The MoU includes deployment of distribution infrastructure including logistics and receiving facilities and will offer LNG access to customers not connected to the pipelines. The agreement also covers developing a larger market for LNG as a transport fuel for long-haul heavy-duty trucks and buses.

Shell Energy India owns and operates a 5 MMTPA LNG receiving, storage and regasification terminal at Hazira in Gujarat. It is currently building a truck loading facility at its Hazira Terminal and the partnership with INOX will help Shell develop the market for LNG as a preferred fuel, according to the company.

“Our partnership with Shell underlines INOX’s innovativeness and our futuristic approach,” Siddharth Jain, Executive Director, INOX India Pvt Ltd, said in a written statement.

“LNG is not only a clean and cost-effective fuel but is also safe and reliable…A larger gas-based industrial ecosystem augurs well with Indian economy as well as for the environment at the same time and is a win-win situation for all stakeholders.”

Ashwani Dudeja, Country Head, Shell Energy India, added, “We look forward to working with INOX to deliver LNG by trucks and creating access to LNG for customers not connected via pipeline. There is a growing demand for gas, the cleanest-burning fossil fuel, from the City Gas Distribution sector, commercial and industrial customers and as a fuel for heavy-duty transport.”

Since commissioning its first small-scale LNG installation at the Halol Plant of General Motors in 2010, INOX has successfully installed more than 35 such facilities across the country, under its GoLNG brand.

In addition, INOX’s GoLNG transport tankers have collectively logged more than 6.5 million KMs and distributed ~100,000 Metric Tonnes of LNG.

Source: Rigzone