Petronet LNG is planning a Capex of Rs. 1,200 crore in FY 2022-23, says Vinod K. Mishra, Director, Finance, Petronet LNG Ltd.

Speaking at the Post Result Conference Call, Vinod K. Mishra, Director - Finance, Petronet LNG Ltd. said, 'If you look at Rs. 1,200 crore Capex we have planned this year as per budget, so this year Rs. 1,200 crore and it may be same next year, next year may be more because jetty will come in next year along with tank and Dahej expansion which is costing around Rs. 570 crore that should come up (by 2024 at maximum), so if you look at spread over two, three years, these are the expenditures and apart from it, if petrochemical comes then it will increase the Capex, but we cannot envisage right now how much it will be on a year-on-year basis."

The expansion of Dahej regasification terminal from 17.5 to 22.5 MMTPA is also in process and the Capex will be around Rs. 570 crore.

Talking about the Petchem project, Mishra said, "We are in fact and intending to have a plant which is called PDH - PP plant to be put up at Dahej. For that we are still doing some feasibility because we have already done PFR and now we are in the process of getting DFR, so all these things will be analyzed and if there is a return of at least 16 - 17% IRR then only we will be going for this kind of project, because there has been huge crack in this particular product in the company. I think unless and until we are sure that we will be having some good IRR, we will not undertake it. But DFR is still under process and perhaps we have to go in for some licensing process also while making DFR, so all those things are continuing, but right now it is with the consultant for DPR preparation."

"Second one is CBG and CBG of course, there has been a challenge, CBG, we thought to undertake in a big way, but right now there has been certain handicaps which are preventing us from putting up those plants, because when we tried to initiate the process to put up some three, four CBG plants in Haryana, we found that it is not possible for government to allocate the land to us so they have gone to assembly again to pass the bill to amend the policy then only they can allot us some lands for CBG. Unless and until we have land, we cannot put up any CBG plant So it is not progressing well unless the Haryana government takes some decision on policy matters," added Mishra.