State-owned Indian Oil Corp (IOC) has said that it is yet to commence work on a Rs 5,150 crore liquefied natural gas (LNG) import terminal at Ennore in Tamil Nadu. In a stock exchange filing, IOC said its Board had in October last year had approved setting up a 5 million tonne LNG project at Ennore through a joint venture company.
Â´The cost of the project is estimated at Rs 5150 crore. The project would be implemented through a joint venture company and not directly by Indian Oil,Â´ it said. IOC would hold 45 per cent stake in the project while Tamil Nadu government enterprise, TIDCO will have 5 per cent holding. Balance 50 per cent will be held by financial institutions.
Â´The joint venture company will be initially incorporated with a seed capital of Rs 1 lakh… of which IOCÂ´s investment would only be Rs 45,000 at present,Â´ the statement said. As the project activities progress, the strategic joint venture partners would be identified and inducted as equity partners.