Petronet LNG has sealed a ₹1,200‑crore, 5½‑year regasification pact with Performance Chemiserve Ltd (PCL), a wholly owned arm of Deepak Fertilisers & Petrochemicals Corporation. Signed on 10 July 2025, the contract requires Petronet to receive, store and regasify about 25–26 trillion British thermal units of LNG each year at its Dahej terminal in Gujarat, following an initial ramp‑up phase. Commercial service is slated to begin between May and July 2026 and run through 31 December 2031, giving Petronet firm throughput and PCL a dedicated feed of natural gas for its fertiliser and chemical plants at Taloja.
The deal could generate up to 20 percent additional revenue beyond the base amount, bolstering Petronet’s utilisation of Dahej—already among the world’s busiest regas sites—and reinforcing its long‑term earnings visibility. For Deepak Fertilisers, the agreement secures a reliable, cost‑effective gas supply chain that complements an earlier sourcing pact with Norway’s Equinor and underpins expansion in ammonia and other value‑added products. Management at both firms said the arrangement strengthens India’s energy security while deepening downstream integration from LNG import to finished chemicals.
Shares of Petronet LNG closed almost flat at ₹305.30 on the NSE after the announcement, while analysts welcomed the contract as a strategic win for both parties. By locking in substantial regas volumes, Petronet continues to diversify its client base beyond state gas distributors, and PCL mitigates exposure to volatile spot prices. Industry observers say the tie‑up reflects a broader trend of Indian industrials securing long‑term LNG logistics as they pivot toward cleaner feedstocks and more predictable input costs.