New Delhi/Singapore — India’s Hindustan Petroleum Corp (HPCL) is seeking a liquefied natural gas (LNG) cargo to commission its new import terminal in December or January, and is in talks with between eight and nine companies for long-term supply, three sources said.HPCL has built a 5 million metric ton per year (tpy) LNG import terminal at Chhara in western India, the country’s sixth, as New Delhi seeks to boost the use of the cleaner fuel. The company’s previous attempts to COMMISSION The plant in April failed due to the bad weather.
The company wants to use the three-month fair weather window that begins in November to commission the LNG terminal, two sources said.
The terminal and related infrastructure, including pipeline connectivity for LNG sale, are completed, the sources said, adding the plan is to commission the terminal in December-January.
State-run HPCL received “a good response” to its expression of interest seeking LNG supplies for 15 years, one of the sources said. It is seeking one LNG cargo per month beginning from late 2026 or early 2027, priced on a Brent-linked basis.
Based on the response, the company shortlisted more than 20 potential suppliers and floated a limited tender for them, the first source said, adding HPCL has received offers from seven to eight players.
Traders including Shell, TotalEnergies and Vitol are keen to supply HPCL, said one of the sources.
All three of the sources declined to be identified as they were not authorised to speak to the media.
Shell declined to comment. HPCL, TotalEnergies and Vitol did not immediately respond to requests for comments.
HPCL said in July it was seeking LNG deals as it expects to start its Chhara terminal by year-end. The LNG will meet requirements at its two existing refineries and a new 180,000 barrels per day (bpd) refinery and petrochemical project in the desert state of Rajasthan.
Additionally, two of the sources said that Indian utility Torrent Power and state-owned Gujarat State Petroleum Corporation (GSPC) were trying to source long-term LNG supplies from 2026 or 2027.
Torrent Power is seeking a 10-year supply deal for about 1 million tons per annum (mtpa), while GSPC is seeking a 10-15 year supply deal for 0.5 mtpa.
Torrent Power and GSPC could not be reached for comment.
Reporting by Emily Chow in Singapore and Nidhi Verma in New Delhi; editing by Barbara Lewis – Reuters
