U.S. May Supply Shale Gas to India

With the aim of weaning away India from Iranian energy products, US may supply shale gas in liquefied form to Asia’s third biggest economy.

Desperate to corner Iran in concert with other countries, the U.S. has been seeking sharp reduction in Indian oil purchases from Iran.

The Hindu reported that In his interaction with the multi-Ministry delegation drawn from the Ministry of External Affairs, Petroleum and Natural Gas and Non-Conventional Energy Sources, U.S. Special Envoy on Energy Carlos Pascual made “detailed and expansive presentations” on the two main agenda items — oil and gas markets, including impact of LNG and of shale gas on the integration of gas markets. His team also made presentations on the demand, supply and consumption pattern projections, including discoveries off the coast of East Africa.

Pascaul will visit Mumbai on Wednesday for talks with ONGC and financial institutions on the Iran issue as well as shale gas projections, Hindu said.

Besides shale gas, which some experts say could send the price of natural gas plummeting, India was also keen on the discoveries made or being made on the east coast of Africa — offshore gas deposits in Mozambique, indication of huge deposits offshore in Tanzania and on land in Kenya.

This could indicate a vast area in the Indian Ocean could contain hydrocarbons and India would like this knowledge to cover the northern portion of the Indian Ocean as well.