SINGAPORE (Reuters) – GAIL (India) has issued a swap tender offering one liquefied natural gas (LNG) cargo for loading in the United States in exchange for another cargo for delivery to India, two industry sources said on Wednesday.
India’s largest gas distributor is seeking the cargo for delivery on a delivery ex-ship (DES) basis at the Dhamra terminal between May 16-25.
It is offering the cargo for May loading from the Sabine Pass terminal, also on a DES basis, the sources said, adding that the tender will close on April 13.
Adani Total, in which French oil and gas major TotalEnergies has a 50% stake, has a 20-year take-or-pay contract to provide regasification services to state-run Indian Oil Corp (IOC) for 3 million tonnes of LNG per year at the Dhamra terminal. GAIL has a similar deal for 1.5 million tonnes per year.
The terminal received its first LNG cargo on April 1, Karan Adani, chief executive of Dhamra port owner Adani Ports and Special Economic Zones, said in a LinkedIn post.
In March IOC issued a tender seeking eight LNG cargoes to be delivered to the Dhamra terminal between June 2023 and May 2024.
GAIL has 20-year deals to buy 5.8 million tonnes a year of U.S. LNG split between Dominion Energy’s Cove Point plant and Cheniere Energy’s Sabine Pass site in Louisiana.
(Reporting by Emily Chow; Editing by David Goodman)
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