“Adani Family and Total shareholders shall ultimately hold 37.4 per cent each and public shareholders shall hold remaining 25.2 per cent,”
Adani Gas said on Monday. The deal will be the largest foreign direct investment in the country’s city gas distribution, making it one of the largest downstream energy partnership.
Total Chief Executive Officer Patrick Pouyanne said it would take at least six months for the deal to materialise. “Indian regulation for listed
companies is a little complex and it will take more than six months to take the shares. In terms of the company’s
liquefied natural gas (LNG) business, the company has a cash flow of $2 billion and we have a target to increase to $6 billion by 2025 and Indian market will contribute to this goal,” he said on the sidelines of CERA Week in Delhi. The firm said CGD is a natural extension of the plans of both partners to invest in infrastructure and assets worth over $1 billion, which span
LNG infrastructure and marketing and fuel retail business, announced in 2018.
Adani Gas is also planning to set up 1,500 fuel stations offering top of the line products in the coming years. The expanded partnership will develop regasification terminals, including Dhamra LNG, on the East coast of India; market
LNG to the Indian markets and through Adani Gas, target to distribute gas to 7.5 per cent of India’s population. “Both partners would make significant investments in the next 10 years to develop India’s gas infrastructure, distribution, marketing businesses with a presence in over 15 states,” it said.
Adani Gas and its joint venture will distribute gas to 6 million households in the next decade. Adani Gas CNG network will be developed exploring synergies including co-location of fuel retail and CNG outlets, the statement added.
Gautam Adani, chairman, Adani Group, said, “The partnership will derive significant synergies between Adani’s capabilities of developing world-class assets and Total’s global best practices as well as leveraging business synergies across LNG, Fuel Retail and City Gas distribution. We look forward to working together towards delivering India’s vision for clean and green energy."
The tie-ups also include two regasification
LNG terminals — Dhamra in the east and potentially Mundra in the west.