The Board of India’s Petronet LNG has approved plans to establish a wholly-owned subsidiary to carry out LNG bunkering services.
In addition to gas fuelling, the subsidiary will also undertake gassing up and cool down operations, LNG supply, training, consultancy and other value-added marine transport services.
The registered office and the operational unit of the subsidiary company will be at New Delhi and the Puthuvypeen special economic zone (SEZ) in Kochi, respectively, Petronet LNG confirmed.
As previously reported, last year Petronet LNG informed Bunkerspot of its intention to set up a dedicated subsidiary for LNG bunkering and other LNG-related services.
Speaking to ship.energy’s sister publication Bunkerspot in November 2020, chief manager, Capt. Nilendra Kumar, said the company had been ‘continuously upgrading our facilities and we are ready for LNG bunkering.’ He also said the company was ‘expecting demand to increase.’
Explaining Petronet’s decision to pursue LNG bunkering, Abhishek Kumar, DGM, Business Development, explained: ‘For us, LNG bunkering is an optimisation,’ adding, ‘we are having the largest LNG volume portfolio in India and our USP, we feel, is that we are in a better position to offer the molecules at a competitive price.’
The company also announced this week it had registered Rs 1,172 Cr in profit before tax (PBT) during Q3 2020/21 – 30% up on the Rs 902 Cr booked during the same quarter in 2019/20.
During the quarter ended 31 December 2020, the group’s Dahej terminal processed 222 trillion British thermal units (TBTU) of LNG – the same amount processed during the corresponding quarter in 2019/20.
During the nine months ended 31 December 2020 the Dahej terminal processed 645 TBTU of LNG compared with 679 TBTU processed during the corresponding period last year.
The company reported its highest ever PBT of Rs 3,112 Crore for the nine months ended 31 December 2020 – and increase of Rs 487 Crore on the Rs 2,625 Crore recorded for the same period last year.
‘The strong financial results for the quarter ended 31st December 2020 was achieved due to resurgence of demand to pre-COVID 19 level, operational efficiency and effective commercial planning by the Company,’ Petronet LNG said.