Qatar has supplied the Dhamra LNG terminal, located in the state of Odisha on the east coast of India, with its first LNG cargo.

The cargo will allow for the gradual commissioning of the terminal, expected to commence commercial operations at the end of May 2023, France’s TotalEnergies said in an April 17 press release.

"India wants to develop the use of natural gas to reduce the carbon intensity of its energy mix by replacing coal, and LNG can therefore meet growing domestic demand,” said TotalEnergies Senior Vice President LNG Thomas Maurisse. “The commissioning of the Dhamra terminal reflects TotalEnergies' ambition to support India’s energy transition and supply security.”

TotalEnergies’ participation in the Dhamra terminal is part of the Paris-based company’s push to develop an integrated gas position in India. TotalEnergies’ involvement in India includes LNG regasification and marketing as well as retailing gas, fuel and CNG, according to the company’s website.

With around 1.4 billion people, India's energy needs are enormous. The development of its energy mix will play a vital role in addressing issues related to climate change, according to TotalEnergies.

India has an eye on developing low-carbon energies like natural gas to produce electricity, which generates half as many GHG emissions as coal, which is still used widely across India.

Dhamra LNG terminal to lower coal use

The Dhamra LNG terminal is owned and operated by Adani Total Private Ltd. (ATPL), a 50-50 joint venture between TotalEnergies and Adani Group.

With a regasification capacity of 5 million metric tons per annum of LNG, the terminal will boost India’s regasification capacity by over 10% and strengthen the Asian country’s position as the world's fifth largest LNG importer. The terminal will supply gas to its major industrial customers as well as inhabitants, the French energy giant said.

The use of LNG will allow India, which still uses coal, to boost the share of natural gas in its energy mix to 15% by 2030 compared to 8% currently, according to TotalEnergies. ATPL aims to supply gas to four million customers across India by 2030.