October 17, 2018
The service stations will be built along highways and intercity connections to take advantage of a market rising at 4 per cent per year driven by improving affordability and infrastructure growth
One of the regasification LNG terminals that the companies will develop is Dhamra LNG on the east coast of India; Total recently agreed to sell 500,000 tonnes of LNG per year to Shell India
Total sees India’s energy consumption growing among the fastest of all major economies in the world over the next decade; Government's push for cleaner fuel has increased investor interest
India, the third largest crude oil consumer and the fourth largest LNG market, has attracted FDI worth US$7 billion until June 2018 and is increasing owing to urgent demand for bigger capacity
French energy giant Total SA said on October 17 that it would expand its multi-energy offerings in India in a partnership with Indian conglomerate Adani Group. Total and Adani will set up a joint venture to build a nation-wide retail network of 1,500 service stations over a period of 10 years as well as various regasification liquefied natural gas (LNG) terminals. The service stations will be built along highways and intercity connections to take advantage of a market growing at 4 per cent per year driven by improving affordability as well as rapid infrastructure development. The service stations, in line with international standards, will offer Total’s full lineup of products and services.
Total, the world’s second largest private LNG player, and Adani, India’s largest infrastructure group, are targeting the fast growing gas demand of the Indian market. One of the regasification LNG terminals that the companies will develop is Dhamra LNG on the east coast of India. Total has been consolidating its energy interests in India to better serve the market and in August sold its 26 per cent stake in the Hazira LNG and Port venture in western state of Gujarat to a subsidiary of Royal Dutch Shell Plc. As part of the deal, Total agreed to sell 500,000 tonnes of LNG per year to Shell over five years starting 2019, to help supply the markets of India and neighboring countries.
Such investments come amid the Government’s push to more than double the share natural gas in the national energy mix to 15 per cent by 2022 as part of an effort to reduce pollution. Total sees India’s energy consumption growing among the fastest of all major economies in the world over the next decade. India, the fourth largest LNG consumer in the world, already accounts for 5.8 per cent of the total global LNG trade. Meanwhile India has come up as the third largest crude oil consumer. Driven by the growth prospects, the oil and gas sector has attracted FDI worth US$7 billion until June 2018 and is increasing steadily owing to urgent demand for bigger capacity.