Indian government-owned fertiliser firm Madras Fertilizers Limited (MFL) is to use cryogenic road tankers to transport natural gas from Krishnapatnam Port.
The gas will be imported to the Ennore LNG terminal, scheduled for operations in 2018.
Speaking on the development, an MFL official explained that the company will use the imported gas for producing urea and this gas will be transported to its storage tanks using cryogenic road tankers.
The proposal to set up storage tanks has been cleared and it is understood that work will soon commence on the construction of these. Initially, MFL will use tankers with an LNG carrying capacity of 7-8 tonnes to 15 tonnes per trip, with a distance of 500 km.
However, the company is yet to decide whether it will purchase these tankers or hire them from a contractor.
LNG developments in India
The Ennore LNG Terminalis being set up by Indian Oil Corporation (IOC) and is expected to start operations by 2018.
MFL is also in talks with Gas Authority of India (GAIL) to procure natural gas for its plant. GAIL’s Kochi-Koottanad-Mangaluru-Bengaluru pipeline would be ready by 2018. In addition, Andhra Pradesh-based KEI-Ros Petroleum & Energy is setting up an LNG import terminal at the port, laying a 250km gas pipeline connecting Nellore and Ennore, which is likely to be commissioned by December 2017.
Krishnapatnam port is situated about 150km north of MFL’s plant.