GAIL India will borrow between 50 and 60 billion rupees during the financial year 2027
GAIL (India), India's largest gas distribution company, plans to borrow 50-60 billion rupees to fund expansion in fiscal 2027. The company has also purchased?three spot LNG shipments?to offset supply shortages due to the Iran War, according to a company official on Thursday.
The amount that it intends to borrow is between $539 and $647 million.
Rakesh Jain said at an industry conference that GAIL's Dabhol LNG Import Terminal in Ratnagiri (Maharashtra) is only handling 2,25?million tpy, which is below its capacity of 5 million tpy, due to a tighter global supply.
The Iranian blockade of the Strait of Hormuz - which is responsible for 20% of global LNG flow - and damage to Qatar's LNG liquefaction train - which has caused a reduction of 12.8 million tonnes?per annum of supply?for three to four years - have led to a rise in spot prices and reduced availability.
According to Kpler, data analytics firm, India imported nearly half its LNG from Qatar last year.
A company source at the event said that the Indian refiner Hindustan Petroleum Corp was also unable to secure an LNG cargo for its 5 million tpy Chhara terminal, located on the west coast of Gujarat state.
Sources claim that HPCL did not receive any cargoes in March or April from ADNOC Trading because ADNOC Trading was supposed to deliver volumes from Qatar, and the Chhara terminal has yet to reach its full capacity due to operational issues.
ADNOC Trading didn't immediately respond to a request for comment. $1 = 92.7100 Indian Rupees (Reporting and writing by Nidhi in New Delhi; Aleef in Bengaluru, and Emily in Singapore. Editing and proofreading by Sonia Cheema & Bernadette Baum).
(source: Reuters)
