New Delhi: State-owned Oil & Natural Gas Corp (ONGC) will on Monday sign an agreement to conduct feasibility of setting up USD 500-750 million liquid gas (LNG) import terminal at Mangalore.
     
The Memorandum of Understanding (MoU) will be signed by ONGC, Bharat Petroleum Corp Ltd (BPCL), Mitsui of Japan and New Mangalore Port Trust, official sources said.
     
The terminal will have an initial capacity of 2-3 million tonnes, which can be expanded to 5 million tonnes later.
     
The New Mangalore Port Trust (NMPT) has given 'no objection' to carry out the feasibility studies, sources said adding an investment decision is expected by early 2014. The ONGC-led consortium is eyeing 2018 for commissioning the terminal.
     
The MoU would be signed in presence of Oil Minister M Veerappa Moily, who has been behind revival of the Mangalore LNG terminal that had been put in cold storage by ONGC six years ago.
     
The first phase of the terminal will cost USD 500-750 million (Rs 2,800 to 4,200 crore) and is expected to be completed in 3-4 years.

(Agencies)

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