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According to a statement by Torrent Power, BP Singapore will supply up to 0.41 mtpa of LNG from 2027 to 2036.
Torrent Power said the LNG procured under this agreement will be strategically utilized by the company, including to operate its 2,730 MW combined cycle gas-based power plants in India to meet the country’s rising power demand, peak demand periods’ support, and balancing renewables.
Also, it will support the Torrent Group’s city gas distribution (CGD) arm, Torrent Gas, and its growing requirement of LNG to ensure supply of gas for households, commercial and industrial consumers, and CNG vehicles, it said.
Torrent Power said the deal contributes to the government of India’s goal of increasing natural gas’s share in the energy mix to about 15 percent by 2030 as well as strengthening India’s energy security.
“Taking advantage of softness in LNG prices, TPL along with TGL further intends to explore medium- and long-term LNG procurement in response to the growing demand from its GBPPs and CGD networks respectively, aiming to enhance its portfolio diversity and reliably to meet energy supply needs of customers.” the company said.
This is the second LNG SPA for BP announced in the last two weeks.
BP recently signed a long-term LNG supply deal with China’s Zhejiang Energy.
The company’s unit in China said the 10-year sales and purchase agreement was signed on May 21.
Under the agreement, BP will supply up to 1 million tons of LNG per year to Zhejiang Energy on a DES basis from its diversified global LNG portfolio.
BP China said this SPA further strengthens the strategic cooperation between the two companies after the duo established a joint venture to supply LNG via trucks in China in 2023.