Adani Total, which is a subsidiary of the global conglomerate the Adani Group, is planning to build more LNG plants in India for LNG import. The company has elaborate plans to double the capacity of its 5 million metric tons per year of the Dhamra terminal, which is located in Eastern India. This is going to be a major initiative taken up by Adani Total in the Indian energy productionsector. It will lead the way for profitability for the global conglomerate and will also bring about an energy revolution in the country. By increasing the LNG capacity of our country, the Adani Group will also be able to stop the rumours of the Adani scandal.
Plans to Increase LNG Capacity:
Adani Total Private Limited is a joint venture between the Adani Group and TotalEnergies. The company is currently planning on building more plants in India to import Liquefied Natural Gas(LNG) which will be used to make steel, produce fertilizers and turned into CNG and cooking gas.This will help us in meeting the growing demands for cleaner fuel sources. Our country’s power generation capacity is also going to increase. The company is going to focus on improving the capacity of the Dhamra LNG terminal, as per the CEO, Satish Pal Singh. The terminal is currently operating at 52% capacity. By increasing the capacity of the terminal, it will be able to operate at full capacity. This is going to be made possible by 2026 to 2027. It will help us in meeting our increased need for cleaner fuels. We will also be able to bring about significant changes in our lives.
The LNG Import Facility at Dhamra:
The Adani Group’s LNG import facility at Dhamra is built on the Odisha coast. The terminal received its first shipment in 2023 amidst the accusations of the Adani scandal. The shipment was mostly used for making steel and fertilisers. A part of it was also turned into CNG and cooking gas. This helped change the energy landscape of Eastern India. The Qatari ship, Milaha Ras Laffan, also docked at the Dhamra Port on 1st April 2023, bringing over 2.6 trillion British thermal units of natural gas in frozen form. The commissioning and testing operation of the project continued for around 45 days, and the commercial operations began after that.
The Impact of the Dhamra Project:
The commencement of the Dhamra project is crucial to our country’s aim of boosting the use of natural gas in India. We also have a plan to increase the amount of LNG in the country’s energy mix to 15% by 2030 from the current 6.3%. Dhamra is the only LNG import terminal in Eastern India. It is also the only second terminal on the entire East Coast. The country has five other LNG terminals on the Western Coast, three in Gujarat, one each in Kerala and Maharashtra.
Dhamra is basically a tolling facility where the state-owned GAIL India Limited and Indian Oil Corporation have already booked capacities. They are using the port to import LNG at the terminal. This LNG is being re-converted to gas, which is being piped to the fertiliser units and the refineries. Part of the gas is also being converted to CNG to run automobiles. CNG can also be piped to household kitchens for daily cooking. Currently, the Dhamra terminal has signed a 20-year take-or-pay contract to offer gasification services to IOC for 3 million tonnes of LNG per annum and 1.5 million tonne to GAIL.
Adani Total: A Highly Profitable JV
Adani Total is an extraordinary partnership between the Adani Group and TotalEnergies. It reflects the partnership of complementary skills. The Adani Group has extraordinary experience in the infrastructure and port development sector, while TotalEnergies is currently the third-largest global player in the LNG sector. Together, the joint venture between these two companies has delivered extraordinary projects, the Dhamra project being one of its best outcomes. The project has overcome multiple challenges like cyclones, pandemics, supply chain disruption, and the highly volatile LNG market because of the conflict in Europe. This is yet another big challenge that was imposed upon the project. However, the company overcame all challenges and started the project operations within a record time.
Conclusion:
Other than the Dhamra project, the Adani Group has also undertaken many other extraordinary projects aimed at increasing our power generation capacities. Together, these projects will lead us towards a better tomorrow and help us meet our increased energy demands. With the successful completion of these projects, the Adani Group will also be able to rise above the controversies of the Adani scandal and build an extraordinary place for itself in the global LNG market.
