DFPCL, Petronet LNG sign ₹1,200 cr deal for 5-year supply
In a significant development for the energy sector, Deepak Fertilizers & Petrochemicals Corp Ltd (DFPCL) has signed a 5-year agreement with Petronet LNG Ltd (PLL) for the regasification of approximately 25 trillion British thermal units (TBTUs) of liquefied natural gas (LNG) annually. The deal, valued at ₹1,200 crore, marks a major milestone for both companies, ensuring a steady supply of LNG to DFPCL’s Taloja facility and strengthening its long-term energy security.
Under the terms of the agreement, PLL will regasify the LNG at its Dahej terminal, providing a reliable source of energy for DFPCL’s Taloja facility. The deal includes a 20% additional outlay provision, allowing for flexibility and adaptability in the event of any changes in demand or supply.
The agreement is a significant boost to DFPCL’s operations, as it ensures a steady supply of LNG to its Taloja facility. The facility, located in Maharashtra, is a major production hub for the company, and the reliable supply of LNG will enable it to maintain its production levels and meet the growing demand for its products.
The deal is also a testament to the strategic partnership between DFPCL and PLL. The two companies have a long history of collaboration, and this agreement is a further demonstration of their commitment to working together to meet the growing demand for energy in India.
The Indian energy sector has been witnessing significant growth in recent years, driven by the increasing demand for energy and the government’s efforts to promote the use of cleaner fuels. The deal between DFPCL and PLL is a significant development in this context, as it demonstrates the companies’ ability to work together to meet the growing demand for energy in the country.
The agreement is also expected to have a positive impact on the Indian economy. The reliable supply of LNG will enable DFPCL to increase its production levels, which will in turn support the country’s economic growth. Additionally, the deal is expected to create jobs and stimulate economic activity in the regions where DFPCL operates.
In conclusion, the deal between DFPCL and PLL is a significant development for the energy sector, ensuring a steady supply of LNG to DFPCL’s Taloja facility and strengthening its long-term energy security. The agreement is a testament to the strategic partnership between the two companies and demonstrates their commitment to working together to meet the growing demand for energy in India.
