GAIL Breaks the Tide! First-Ever Monsoon LNG Operation Sets a New Benchmark

Image Source: Baird Maritime

In a historic breakthrough, GAIL (India) Limited has successfully discharged its first LNG vessel at the Dabhol terminal during the monsoon season, marking a major operational milestone. This achievement follows the completion of a critical breakwater facility, allowing LNG imports to continue uninterrupted despite high tides and rough seas.

1. Latest Update on the Dabhol LNG Terminal

GAIL has applied for an all-weather terminal status, which is expected to be approved within a week.
The breakwater facility is now fully operational, enabling LNG cargo arrivals throughout the monsoon.
The terminal, previously shut for four months annually, is now capable of year-round operations.

2. Expansion Plans and Future Outlook

GAIL plans to increase Dabhol’s capacity from 5 MTPA to 6.3 MTPA by mid-2027, with a long-term goal of 12.5 MTPA by 2031–32.
The company has received five bids from US-based firms for a stake in a US LNG project, alongside a 15-year LNG import agreement.
GAIL’s Henry Hub-linked LNG purchases are expected to average $3.5–$4 per mmBtu, making imports more cost-effective.

3. Economic and Strategic Impact

The breakthrough ensures uninterrupted LNG supply, benefiting industries, power plants, and city gas distribution networks.

GAIL’s ₹10,000+ crore capex plan for FY26 includes pipeline development, petrochemicals, and renewable energy investments.

Sources: MarineLink, Projects Today