(EnergyAsia, July 26 2011, Tuesday) — Gazprom Marketing and Trading Singapore Pte Limited said it has signed a Memorandum of Understanding with Indian Oil Corporation Limited (IOCL) to supply up to 2.5 million tonnes per year of liquefied natural gas (LNG) for up to 25 years.
This is Gazprom Singapore’s fourth LNG supply contract into India following on the Russian firm’s previous deliveries to India since 2007.
Last month, Gazprom Singapore announced that it had secured similar long-term deals to supply LNG to three Indian state-owned companies, GAIL India Limited, Gujarat State Petroleum Company (GSPC) and Petronet LNG Limited.
Gazprom Singapore said it sees India as one of its key markets for LNG supplies, along with Japan and other North Asian countries, as it continues to strengthen its presence and operations in the Asia-Pacific region.
Gazprom will source its supplies from its production in Sakhalin, other parts of Russia as well as international portfolio.
Nigel Kuzemko, Gazprom Singapore’s Global Director of LNG Development, said:
“We are delighted to have entered into this agreement with IOCL as it provides an excellent base to further develop Gazprom Singapore’s relationship with a premier Indian company. We recognise IOCL as major player in global energy markets with a strong presence in refineries, pipelines and marketing in India.”
Gazprom Singapore trades, markets and supplies LNG, manages shipping and originates carbon reduction projects in the Asia Pacific markets.