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Mitsui wins Petronet's tanker contract
A consortium led by Japan's Mitsui OSK Lines has won Petronet LNG Ltd's contract to carry liquified natural gas from Qatar to Gujarat for 25 years.
A consortium led by Japan's Mitsui OSK Lines has won Petronet LNG Ltd's contract to carry liquified natural gas from Qatar to Gujarat for 25 years.
Mitsui partnered with fellow companies NYK Lines and K Line, and with Shipping Corporation of India to outbid a consortium led by Belgian EXMAR in a price re-bid.
Petronet LNG Ltd on Wednesday informed Bombay Stock Exchange that its Board of Directors had approved the award of Vessel Time Charter to Mitsui led consortium on December 24.
The Mitsui-led consortium would carry 2.5 million tonnes per annum of LNG from Qatar's RasGas to Petronet's Dahej terminal in Gujarat.
"The price re-bid was necessitated due to change in Government policy that kept Director General of Shipping's Guideline of Indian flag in abeyance," Petronet said.
The EXMAR with its Indian consortium comprising Varun Shipping Company Limited and Indian Oil Corporation had initially won the bid but Petronet decided to go for a re-bid.
In yet another decision, the Petronet Board has approved award of lump sum turnkey contract of $262 million (about Rs 1200 crore) for expansion of Dahej LNG terminal to consortium led by Japanese company IHI.
The other two companies in the consortium were Toyo Engineering Corporation, Itochu and Mitsui, it said.
