KG LNG Terminal is a joint venture company established by a consortium of companies including VGS group, and Exmar.
The company aims to launch an offshore LNG terminal with a capacity of 3.6 million ton per annum in the first phase as well as a similar capacity in the second at the Kakinada deep water port.
Krishna-Godavari (KG) LNG Terminal director Kamesam told the Hindu Business Line: "It is estimated by experts that Andhra Pradesh would require not less than 30 MMTPA of LNG in the coming years and to meet the demand at least five LNG terminals would be required – one at Gangavaram, two at Kakinada, one at Krishnapatnam and the last at the proposed GMR port.
"At present, work is in progress on the Gangavaram terminal with a capacity of 5 MMTPA and the AP Government has cleared a 5 MMTPA LNG terminal at Kakinada."
The first phase of LNG terminal at Kakinada has already secured approval from the Andhra Pradesh government, with Shell as one of the partners.
The two LNG terminals at Kakinada are expected to have a combined capacity of 8.6 MMTPA.
A detailed project report (DPR) and the environment impact assessment (EIA) report have already been submitted by the company to the government.
"We now urge the new AP Government to expedite the process and pave the way for the establishment of the terminal," Kamesam added.
