Qatar May Get Stake in India's Petronet LNG

India may allow Qatar to pick up 5.2% stake in Petronet LNG in return for extra two million tonnes of LNG at a price lower than what it charges Japan.

India Express newspaper has reported that at a meeting called by Prime Minister's Office last month, GAIL India agreed to waive its right of first refusal to acquire Asian Development Bank's 5.2 per cent if Qatar agreed to a delivered price of $12.5 per million British thermal units for the additional LNG. It charges $14 per mBtu from Japan.

The newspaper also reported that Qatar may get 10 per cent equity in Petronet LNG's proposed 5 million tonne LNG terminal at Gangavaram in Andhra Pradesh.

"It is proposed to have a strategic partner with 10 percent equity coupled with affordable supply commitment from the strategic partner. Petronet has been discussing with (Qatar's) RasGas for investment in the east coast LNG terminal," a GAIL official told Indian Express.