Japan’s Osaka Gas in India move

Japan’s city gas supplier and LNG importer Osaka Gas is entering India’s city gas distribution market as part of its plans to expand its overseas businesses.

Osaka Gas has invested, together with Japan Overseas Infrastructure Investment Corporation for Transport & Urban Development (JOIN), in a unit of Singapore’s LNG firm AG&P, according to a joint statement. Osaka Gas is already a shareholder in AG&P.

JOIN and Osaka Gas Singapore will invest up to $120 million in Singapore-based AG&P CGD HoldCo SPV3 that is developing twelve city gas distribution networks, or concessions, in South India and Rajasthan under the brand name AG&P Pratham.

Besides AG&P, US-based I Squared Capital Advisors also participates in AG&P CGD.

In August 2021, AG&P City Gas received $ 200 million from I Squared Capital. Combined with the investment from the Osaka Gas and JOIN consortium, the total equity infusion available for AG&P City Gas is over $300 million, the statement said.

With this move, Osaka Gas becomes the first Japanese company to participate in the city gas distribution (CGD) sector in India.

The venture aims to develop into a business in a scale of 3.5 billion cbm in gas sales volume, which is about half of Osaka Gas’ city gas sales volume in Japan, it said.

Also, the venture plans to promote city gas demand for CNG vehicles as well as for household, commercial, and industrial uses, and utilize LNG trucks as one of the main gas supply system, the statement said.

Most Popular

Shell adds another LNG carrier to its fleet

A unit of UK-based LNG giant Shell has added another chartered liquefied natural gas carrier to its fleet.

Chevron, China’s ENN seal second LNG SPA

US energy giant Chevron has signed a second LNG sales and purchase agreement with Chinese independent gas distributor ENN.

Venture Global gets OK to introduce gas to final Plaquemines LNG block

US LNG exporter Venture Global LNG has received approval from the US FERC to introduce natural gas to the 18th and final liquefaction block at the Plaquemines LNG terminal in Louisiana as part of the plant’s commissioning process.

More News Like This

Nebula’s AG&P LNG to take FID on Venice Energy’s LNG project in 2025

Nebula Energy’s AG&P LNG is expected to make a final investment decision on Venice Energy's FSRU-based LNG import project in the Port of Adelaide, South Australia, later this year after it agreed to buy the project.

Spain’s Sagunto LNG terminal gets 1000th cargo

Spain’s Sagunto liquefied natural gas import terminal near Valencia has received its 1000th cargo onboard Latsco's LNG carrier Hellas Athina.

Nebula’s AG&P LNG, Indonesia’s PLN EPI form JV

Nebula Energy’s AG&P LNG has formed a 20-year joint venture with PT PLN Energi Primer Indonesia (PLN EPI) and partners to develop LNG infrastructure for the Sulawesi-Maluku power plant gasification project.

Japan’s Osaka Gas, partners to build LNG power plant

The CCGT unit will use regasified LNG as fuel, but it will also be able to consume e-methane in...