On June 16, a working meeting involving Alexey Miller, the Chairman of the Management Committee of Gazprom, and Dharmendra Pradhan, and the Minister of Petroleum and Natural Gas of India, was held during the St. Petersburg International Economic Forum (SPIEF 2016).
The parties discussed potential areas of cooperation in the area of oil and gas. Particular attention was paid to the organization of the LNG supply from the international portfolio of Gazprom Group to India, particularly within the existing contract with GAIL.
In addition, the parties discussed prospects of Gazprom cooperating with Indian companies in the field of exploration and development of oil and gas fields, scientific and technical cooperation.
Proven natural gas reserves in India are about 1.5 trillion cubic meters.
The Ministry of Petroleum and Natural Gas of India controls and regulates the production of oil and natural gas, refining, distribution of petroleum products and gas, exports and imports of oil and petroleum products.
GAIL (Gas Authority of India Ltd.) is the largest gas transportation company in India, the main activities of which are the transportation and processing of gas, the sale of its processing products, gas power generation, as well as the exploration and production of gas.
Within the period of 2009 to 2016, Gazprom Group made 26 deliveries of LNG to India, totaling 1.7 million tons.
In 2012, Gazprom Marketing & Trading Singapore (a company of Gazprom Group) and GAIL Company signed a long-term contract for the sale of liquefied natural gas, involving LNG supply on DES (delivered ex ship) terms in the amount of 2.5 million tonnes per year for 20 years with a possible extension.
The most promising areas of cooperation between Gazprom and Indian partners are the supply of Russian LNG to India, joint activities in the field of prospecting, exploration and the development of hydrocarbon reservoirs, the construction of pipelines and underground gas storage systems, scientific and technical cooperation, as well as training and development of personnel.
In 2004, Gazprom signed an agreement on strategic partnership with GAIL. In 2005, it signed a Memorandum of Understanding with ONGC, the national oil and gas corporation.
In 2005-2010, Gazprom International, Gazprom’s company specialized in the prospecting, exploration and development of hydrocarbon reservoirs outside the Russian Federation, has performed complex large-scale exploration work including geophysical studies, 2D seismic data acquisition works amounting to 4,932 linear kilometers and 3D – 530 square kilometers on the shelf of the Bay of Bengal, as well as exploratory drilling with a total penetration of about 10 thousand meters. Based on their results, a large volume of valuable geological and geophysical data was collected, a detailed study of which contributed to defining areas of further cooperation between the partners.
In June 2014, in Moscow, Gazprom International and Oil India Limited, the second-largest oil and gas producer, signed a Memorandum of Understanding. .
Currently Gazprom International experts are studying proposals by Indian partners containing specific options for cooperation, particularly in the field of natural gas for vehicles.