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Eastern India to get Rs51,000 crore energy investment: IOC

LiveMint logoLiveMint 09-07-2017 Gireesh Chandra Prasad

New Delhi: A liquefied natural gas (LNG) import terminal being set up at Dhamra in Odisha and a long distance gas highway will help bring about Rs51,000 crore investments into Eastern India, Indian Oil Corporation(IOC) which is implementing the LNG terminal project with the Adani Group said in a statement on Saturday.

Oil minister Dharmendra Pradhan performed a ceremony at the location marking the project’s commencement.

Gas imported through this terminal will feed city gas distribution in seven cities in the region, four fertilizer plants that are being revived and a host of other industries through the 2,540-km-long Jagdishpur-Haldia-Bokaro-Dhamra pipeline.

These projects together will bring investments of Rs51,000 crore to the Eastern India’s economy, said the company statement. Project cost of the terminal is Rs6,000 crore.

The Jagdishpur-Dhamra pipeline has a project cost of Rs12,940 crore, while the city gas distribution projects will cost Rs6,000 crore and the revival of state-owned fertilizer plants at Gorakhpur, Barauni, Sindri and Talcher will bring investment of Rs26,000 crore, said the statement. The LNG terminal is expected to be completed by 2020-21.

The statement said quoting Pradhan that the terminal will play a significant role in the development of eastern India. “In eastern India, Dhamra will have the distinction of hosting the first LNG terminal, which will import gas from countries like US and Qatar,” it said quoting Pradhan.

“We are hopeful that use of natural gas will also help in reducing the carbon footprints in the states of Odisha, Bihar, Jharkhand and West Bengal in a big way,” the statement further said quoting Indian Oil Corp. chairman Sanjiv Singh.

Developing the so far neglected eastern part of the country is a priority for the NDA administration which is encouraging several hydrocarbon and infrastructure projects in the region.

At present, states like Odisha, Bihar, Jharkhand and West Bengal face scarcity of natural gas in the absence of import terminals and cross-country gas pipelines.

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