Consul General Anupam Ray flags off shipment for GAIL India
In what is seen as a significant milestone in the US-India energy cooperation, a Liquefied Natural Gas (LNG) shipment to GAIL India has been flagged off from US Gulf coast.
Consul General of India Anupam Ray flagged off the first consignment ship “Meridian Spirit” from Cheniere Sabine Pass LNG terminal on Tuesday.
GAIL, a state-owned natural gas processing and distribution company in India, had earlier signed a 20-year deal to import natural gas from the United States.
It was only recently that the United States started exporting LNG to other countries and India has emerged as one of its major buyers.
“Win-win for both nations – a market for a major US industry and a reliable energy source for India,” tweeted Anupam Ray after flagging off the shipment.
Going by the contract signed by GAIL India and Cheniere Energy’s Sabine Pass liquefaction facility, the Louisiana-based LNG terminal will supply 3.5 million tons of LNG per year.
The United States will generate $2 billion per year for 10 years.
“Excited for liquid freedom – more US LNG heading from Houston to India! Economic win for Texas and our ally” tweeted Peter Graham Olson, the U.S. Representative for Texas’s 22nd congressional district.
— Rep. Pete Olson (@RepPeteOlson) March 6, 2018
“Great news for TX! India has contracted to buy $2 billion of US LNG annually for 10 yrs. Excellent for job creation in TX, & is a milestone in US-India economic relations,” tweeted Ted Poe, a member of Congress, representing the second district of Texas.
Great news for TX! India has contracted to buy $2 billion of US LNG annually for 10 yrs. Excellent for job creation in TX, & is a milestone in US-India economic relations. @pmoindia @narendramodi @realdonaldtrump
— Ted Poe (@JudgeTedPoe) March 6, 2018
“This long-term agreement would go a long way in strengthening the relationship between GAIL and Cheniere and reinforcing India-US trade ties,” Consul General Ray added.
The United States and India already have growing energy cooperation in shale gas, nuclear energy, clean energy and carbon capture, utilization and sequestration (CCUS).