Total in India LNG supply pact to drive down coal usage at steel plant

Volumes delivered to ArcelorMittal Nippon Steel will help reduce the burning of coal at Hazira steel plant

20 May 2021 8:17 GMT UPDATED 20 May 2021 8:17 GMT By Amanda Battersby in London.


French supermajor Total has signed a deal to supply up to 500,000 tonnes per annum of liquefied natural gas to ArcelorMittal Nippon Steel (AMNS) until 2026. Volumes will be sourced from Total’s global portfolio and offloaded either at the Dahej or Hazira terminals on India’s west coast. AMNS will use the LNG to run its steel and power plants located in Hazira, Gujarat state.

“We are pleased to partner with AMNS and to supply the growing industrial LNG demand in India, a country that aims to more than double the share of natural gas in its energy mix by 2030 compared to today,” said Thomas Maurisse, senior vice president LNG at Total. “The supply of LNG will contribute to the reduction of AMNS’ carbon emissions, in line with Total’s ambition to offer its customers energy products that emit less CO2 and to support them in their own low-carbon strategies.” Utilising gas as feedstock at AMNS’ Hazira plants will contribute to the decarbonisation of India’s steel industry, which still relies heavily on coal.(Copyright)