RIL signs MoA for LNG project in Iran

By Our Staff Correspondent

MUMBAI, FEB. 21. Reliance Industries, National Iranian Oil Company (NIOC) and BP have announced the signing of a Memorandum of Association (MoA) to undertake a $10 million feasibility study with a view to developing a liquefied natural gas (LNG) project in southern Iran, targeting export to India as well as other markets of Asia and Europe.

The study will look at the viability of a two-train plant with an initial capacity of about eight million tonnes per annum. Reliance with a 25 per cent share, will take the lead for conducting the market study, BP with 25 per cent share, will lead the technical effort as well as evaluating the financial options, while NIOC, with 40 per cent share will be involved in all aspects.

The study will examine sourcing gas from Iran's offshore South Pars field and then piping it to an LNG plant at the Pars special energy economic zone in Assaluyeh on the Persian Gulf. The project is expected to give a boost to Iran's LNG industry and meet the growing energy demand in India and other markets in Asia and Europe.

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Section  : Business
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