IndianOil, KOGAS sign MoU for LNG, oil and gas ventures

Indian Oil Corporation Ltd (IndianOil) and Korea Gas Corporation (KOGAS) have entered into an understanding for joint participation in exploration and production of oil and gas as also developing natural gas infrastructure projects and LNG sourcing.

KOGAS, the national gas company of Korea is the world's largest single importer of LNG with impoerts of about 33 MTA in 2011.

In a statement issued in New Delhi today, IndianOil said that the memorandum of understanding was signed on the sidelines of the Petrotech-2012.

IndianOil said it planned to import gas to meet its requirements, and if it was left with surplus to sell to other customers.

Director, planning & business development AMK Sinha had earlier told Business Line that the drop in domestic gas output and growing dependence on LNG had led the company to take this decision.

Currently, IOC is getting imported gas from Petronet LNG, which was part of its share as a promoter of Petronet, but it was now looking at sourcing gas by itself.