Hiranandani Group’s H-Energy signed a memorandum of understanding with a South Korean consortium for the construction of the FSRU and pipeline projects in the east and west coast of India.
Under the MoU signed on Wednesday, the consortium comprised of Korea Gas Corporation (Kogas), SK Shipping, Fairwood Peninsula Energy and Korea Development Bank, will participate in H-Energy’s projects through equity investments coupled with joint management in the areas of project execution, operations and maintenance and skill development.
In its statement, H-Energy said it has made significant progress in setting up a floating storage and regasification unit (FSRU) in the offshore Digha region of West Bengal, which will be connected to the onshore receiving facility by a 115 km subsea pipeline. This project was awarded to H-Energy and its technical partner Excelerate Energy, through a tender process carried out by the Kolkata Port Trust.
In parallel H-Energy plans to lay a 715 km natural gas pipeline originating in Contai in West Bengal. This pipeline is intended to service a number of customers in West Bengal, Odisha as well as to gas based power projects in Western Bangladesh. The point of delivery of natural gas will be near Duttapulia at the India-Bangladesh border.
The company is also executing an FSRU project in Jaigarh Port in Maharashtra on the West Coast of India. For this project H-Energy has entered into a port concession agreement with JSW Jaigarh Port and has awarded the contract for the construction of LNG jetty to JSW Jaigarh Port.
For delivery of the regasified LNG to customers in Maharashtra, Gujarat, Goa and Karnataka, the Petroleum and Natural Gas Regulatory Board has granted two authorizations to H-Energy, namely a 60-km tie-in natural gas pipeline from Jaigarh to Dabhol and a 635-km natural gas pipeline from Jaigarh to Mangalore through the markets of Ratnagiri, Sindhudurg, Goa and Karwar.
The EPC contract for the construction of the LNG jetty and the EPCM contract for the construction of tie-in pipeline will be awarded shortly, H-Energy said in its statement.
The company expects its partnership with the South Korean consortium to provide a boost to the development of the energy infrastructure in eastern and western India.