New Delhi: Petronet LNG Limited (PLL) has taken a significant step to finance its upcoming Petrochemicals Project and other capital expenditure requirements by executing a secured Rupee Term Loan (RTL) agreement worth ₹12,000 crore. The agreement was formalized on 10 December 2025 under a consortium led by the State Bank of India (SBI) along with Bank of Baroda (BoB), with each bank contributing ₹6,000 crore. The move was disclosed to stock exchanges under SEBI’s Listing Obligations & Disclosure Requirements.
Financing the PDH-PP Petrochemicals Project
The secured RTL facility will primarily support the development of Petronet LNG’s large-scale Petrochemicals Project at Dahej, Gujarat. The project encompasses a 750 KTPA Propane Dehydrogenation (PDH) unit and a 500 KTPA Polypropylene (PP) plant, along with associated propane and ethane handling systems. The funding will also cover other capital expenditure requirements critical for the expansion and operational efficiency of the project.
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Structured Security and Loan Details
The loan has been backed by a structured security package to ensure risk mitigation and transparency. Key highlights of the security include:
- A first pari-passu charge on movable and immovable assets directly linked to the PDH-PP project.
- A second pari-passu charge on the company’s existing movable fixed assets, which will be released after successful commissioning of the project.
- The security is shared pari-passu among the lenders and bondholders.
Notably, Petronet LNG confirmed that there is no outstanding amount against this newly executed borrowal as of now.
Execution and Regulatory Compliance
The loan agreement was signed and executed in compliance with SEBI regulations, with Rajan Kapur, GGM & President – Company Secretary of Petronet LNG Limited, overseeing the disclosure to BSE and NSE.
About Petronet LNG Limited
Petronet LNG Limited is a leading Indian natural gas company under the Ministry of Petroleum and Natural Gas, primarily engaged in the import, storage, and distribution of liquefied natural gas (LNG). With strategic infrastructure across India, Petronet LNG plays a key role in strengthening the country’s energy security while pursuing initiatives in the petrochemicals sector and expanding its renewable and low-carbon energy portfolio.
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