India All Set To Receive First-Ever LNG Cargo From Tangguh LNG In Indonesia

India is geared to receive its first-ever cargo on Monday from the Tangguh LNG plant-based at the Dahej terminal in Indonesia, per a Refinitiv analyst and the firm’s ship tracking data.

The LNG cargo is currently undergoing transportation by the BW Helios tanker, explained Olumide Ajayi, a senior and well-known LNG analyst associated with Refinitiv.

The vessel functioning as floating storage as it lifted cargo in mid-September 2022, is currently on a term charter to British oil firm BP and is set to arrive on 28 November at the state-owned Petronet’s Dahej terminal, he said.

The BW Helios reportedly picked up the cargo worth 132,000 cubic meters at Tangguh’s LNG loading facility on 18 September, per Refinitiv data, and its discharge date was mentioned as 28 November.

Ajayi specified that the shipment was extraordinary as Indonesia’s LNG cargoes are exported to north Asia, and India gets its LNG cargoes from Qatar, the UAE, and Oman.

China, Korea, and Japan are primary LNG consumers in north Asia. Still, the region’s muted spot and high inventories demand have weighed on Asia’s spot LNG prices in recent weeks.

The Tangguh LNG plant is currently in West Papua in Indonesia, and BP operates it. It began its production in 2009. The output capacity is about 7.6 million tons of LNG per annum (mtpa) from the two trains that are in existence.

A third train is likely to come on stream in 2023 (March), officials at the Indonesian upstream regulator SKK Migas reportedly mentioned in July 2022, bringing the plant’s production capacity to 11.4 mtpa.

References: Live Mint, The Print