Both companies will accord a preferred partner status for delivery of LNG equipment and services
BILKULONLINE
Ahmedabad, Feb 5: Adani Total Gas Ltd (ATGL), India’s leading city gas distribution company and INOX India Ltd (INOXCVA), one of the world’s leading cryogenic liquid storage, distribution and re-gas solutions provider based in Gujarat, have entered into a mutual support agreement, under which ATGL and INOXCVA shall mutually accord a “preferred partner” status for the delivery of LNG and LCNG equipment and services for identifying and exploring possible collaboration opportunities for strengthening the LNG ecosystem in the country.
As preferred partners, ATGL will have certain inherent project level benefits, which includes preferential treatment to ATGL and access to advanced scheduling, and consideration for collaborative opportunities for establishing LNG/LCNG stations, LNG satellite stations, transitioning to LNG as a transport fuel, LNG logistics, as well as developing small-scale liquid hydrogen solutions for the industry.
The mutual support agreement covers role and obligations on either side to leverage expertise of both the Parties to develop the LNG Infrastructure including small-scale LNG plants, LNG stations, bringing economy of scale for conversion of heavy vehicles on LNG, developing best practices towards HSE, fuel efficiency, high quality conversion and services.
Speaking on the collaboration, Suresh P Manglani, Executive Director & CEO, ATGL said, “Air pollution and greenhouse gas (GHG) emissions are on the rise. With the ongoing rapid industrial growth and huge increase in heavy vehicles for transportations of goods, challenges will become even more formidable going forward. This partnership with INOXCVA shall help ATGL in furthering phased transition of long-haul heavy vehicles, buses currently using HSD/diesel to LNG, thereby helping over 30% reduction in CO2 and GHG emissions. ATGL will also fast-track setting up of LNG stations across the country for boosting the confidence of fleet operators to embrace LNG as transportation fuel.”
Speaking on the collaboration, Siddharth Jain, Promoter and Non-Executive Director, INOXCVA said, “As our economy prepares to go an overdrive, it is imperative that we also maintain a focus on ensuring that the transition happens in a sustainable manner. We are, therefore, excited about our cooperation with ATGL, which would look to strengthen the LNG ecosystem and building & promoting LNG as a transport fuel. Our combined synergies, backed by expertise and scale of both the Parties will truly benefit the stakeholders in the economy in reducing emissions, and make significant contributions towards the green transition.