India is looking at Qatar for a ‘sweetheart’ gas deal but Doha appears in no mood to sell liquefied natural gas (LNG) at anything less than $9-11 (Rs 421 to Rs 515) per mmBtu — more than double the domestic gas price.
Petroleum Minister Murli Deora had earlier this month took along chief executives of public sector oil companies to Doha hoping that Qatar’s Energy Minister Abdullah al-Attiyah would replicate the ‘sweetheart’ deal of 2003.
Qatar had then agreed to sell 5 million tonnes LNG a year to India at $2.53 per mmBtu (Rs 118.40), and because of the low price it was referred world over as the ‘sweetheart’ deal.
But this time, Qatar wants 13.5-15.5 per cent of ruling crude price, and the ex-terminal cost is not likely to come less than $12 per mmBtu (Rs 561.60), sources said.