IBEF: October 15, 2019
ExxonMobil India LNG Ltd has signed a Memorandum of Understanding (MoU) with Indian Oil Corporation Ltd (IOC). This is focused on making natural gas available beyond the present available pipeline networks.
The MoU is part of ExxonMobil's efforts to further expanding its Liquefied Natural Gas (LNG) business in India.
"This initiative focuses on exploring new models of delivering cost-effective natural gas in India where it is most needed to complement traditional pipelines," an ExxonMobil statement said.
The aim of the MoU is to find ways to move natural gas markets to parts of the country that are yet to be serviced by gas pipeline networks. "This MoU does not seek to replace pipeline networks but to complement existing networks. It is broadly aimed at increasing the reach of existing gas pipeline infrastructure to nearby regions," an official said.
The mode of gas delivery, such as through LNG trucks or others, is yet to be worked out. The technicality, timeline and details of project are also part of the negotiation between the two companies.
"What really matters is how we accelerate India's access to affordable, cleaner energy. We see great potential here" said Mr. Bill Davis, Lead Country Manager, South Asia, ExxonMobil
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.