New Delhi: Petronet LNG Limited (PLL), one of India’s premier energy infrastructure companies and a joint venture of four public sector undertakings, has executed a major regasification agreement with Performance Chemiserve Limited (PCL), a wholly-owned subsidiary of Deepak Mining Solutions Ltd, part of the Deepak Fertilisers and Petrochemicals Corporation Limited (DFPCL) group.
Key Agreement Details
The 5.5-year contract is scheduled to commence between May and July 2026, running until December 31, 2031. Under the agreement, Petronet LNG will receive, store, and regasify 25.6 TBTUs of Liquified Natural Gas (LNG) annually—after an initial ramp-up period—at its Dahej terminal, one of the busiest LNG terminals in the world.
The re-gasified LNG will primarily be utilized at DFPCL’s manufacturing units in Taloja, Maharashtra.
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Revenue and Strategic Significance
The deal is expected to generate ₹1,200 crore in revenue for PLL, with an upside potential of up to 20%, depending on throughput and pricing. This long-term engagement is part of PLL’s broader strategy to strengthen its regasification portfolio and enhance its footprint in the industrial and fertilizer sectors.
In FY 2024–25, Petronet handled approximately 18 MMTPA of LNG through its Dahej and Kochi terminals, with Dahej continuing as the flagship and one of the most active regasification terminals globally.
Link to Upstream Supply Agreement
Earlier, DFPCL signed a long-term LNG supply agreement with Equinor, a leading global energy firm headquartered in Norway. The newly announced regasification deal with Petronet LNG serves as a downstream enabler, completing the supply chain from global sourcing to end-use in India’s industrial and fertilizer sectors.
Strengthening India’s Energy Value Chain
This agreement reflects growing synergy between PSU-led infrastructure and private-sector industrial demand in India’s energy ecosystem. It also highlights the expanding role of natural gas as a cleaner energy source in sectors like fertilisers and petrochemicals.
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About Petronet LNG
Petronet LNG Limited is an Indian oil and gas company formed by the Government of India to import liquefied natural gas (LNG) and set up LNG terminals in the country. It is a joint venture company promoted by the Gas Authority of India Limited (GAIL), Oil and Natural Gas Corporation Limited (ONGC), Indian Oil Corporation Limited (IOC) and Bharat Petroleum Corporation Limited (BPCL).
Petronet LNG Limited, one of the companies in the Indian energy sector, has set up the country’s first LNG receiving and regasification terminal in Dahej, Gujarat, and another terminal in Kochi, Kerala. While the Dahej terminal has a nominal capacity of 17.5 million tonnes per year (equivalent to 70 million cubic metre per day of natural gas at standard conditions), the Kochi terminal has a capacity of 5 million tonnes per year (equivalent to 20 million cubic metre per day of natural gas).
