LNG terminal assets acquired in major deal

An acquisition agreement has been finalised for LNG terminal assets in India and Scotland, marking a notable development in global LNG infrastructure.

The projects aim to address growing energy demands and supply chain resilience.

The transaction involves Crown LNG Holdings acquiring the Kakinada LNG terminal on India’s east coast and the Grangemouth LNG assets in Scotland. Both acquisitions will be settled through a share exchange valued at US$60M and US$25M, respectively.

Crown LNG chief executive Swapan Kataria stated the completion of the acquisition agreements marks a pivotal step in advancing the Kakinada and Grangemouth LNG projects. He added the company is now well-positioned to manage and progress these initiatives, which aim to support energy infrastructure in India and the UK.

The Kakinada LNG terminal is licensed to operate year-round despite challenging weather conditions. Imported LNG will be distributed via the East-West Pipeline, supporting India’s aim to increase natural gas’s share in its energy mix to 15% by 2030.

In Scotland, the Grangemouth LNG terminal is positioned to enhance the UK’s energy security, which currently depends on three LNG import facilities. This comes at a time when LNG imports to the UK surged by 74% between 2021 and 2022, reflecting evolving energy market dynamics.