French energy major Total has signed an agreement with India’s ArcelorMittal Nippon Steel Limited (AMNS) to supply liquefied natural gas (LNG) to steel and power plants in the western Indian state of Gujarat, a statement from Total said on Friday, May 21.
Under the agreement, Total will supply up to 0.5 million mt LNG per year until 2026, the statement said.
The LNG will be sourced from Total's global portfolio and offloaded either in Dahej or Hazira LNG terminal, on the west coast of India, it said. AMNS will use the LNG to run its steel and power plants located in Hazira in Gujarat state, the Total statement added.
The supply of LNG will contribute to the reduction of AMNS's 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, Total said.