Shell Energy India wins environmental clearance to expand LNG terminal capacity to 26.2 mt, investment of ₹21,600 crore.

Shell Energy India has received environmental clearance to expand its Hazira LNG terminal in Gujarat from 6.28 MMTPA to 26.2 MMTPA with an investment of ₹21,600 crore. The expansion includes constructing LNG storage tanks, enhancing regasification capacity, building new truck loading facilities, and augmenting LNG receiving capacity. The project will enable Shell to supply LNG for industrial use and as a transport fuel for heavy-duty vehicles.

TotalEnergies SE (TTE) has announced a significant agreement with South Korea's national natural gas company, KOGAS. The deal includes the annual delivery of 1 million tons (Mt) of liquefied natural gas (LNG) to South Korea over a 10-year period, starting at the end of 2027. From 2028 onward, TotalEnergies will supply an additional 3 Mt of LNG annually, sourced from its global supply portfolio, primarily from the United States [1].

This contract fortifies TotalEnergies' position in the LNG market and ensures a consistent, long-term revenue stream. The deal aligns with broader trends toward stable, long-term contracts in the face of geopolitical unpredictability. By utilizing supplies from its international portfolio, TotalEnergies increases its contractual flexibility and market diversity [1].

According to Shell’s SHEL LNG Outlook 2025 report, global demand for LNG is forecasted to rise around 60% by 2040, driven by economic growth in Asia, emission reductions, and the impact of artificial intelligence. This deal strengthens TotalEnergies' position in the face of growing regional energy demands [1].

Shell Energy India has also received environmental clearance to expand its Hazira LNG terminal in Gujarat from 6.28 MMTPA to 26.2 MMTPA with an investment of ₹21,600 crore. The expansion includes constructing LNG storage tanks, enhancing regasification capacity, building new truck loading facilities, and augmenting LNG receiving capacity. This project will enable Shell to supply LNG for industrial use and as a transport fuel for heavy-duty vehicles [2].

These developments underscore the growing importance of LNG in meeting regional energy demands and the strategic positioning of companies like TotalEnergies and Shell in the LNG market. The rising demand for LNG is also expected to boost the prospects of companies like Cheniere Energy and BP plc, which play vital roles in the global supply of LNG [1].

In the past six months, shares of TotalEnergies have risen 0.1% compared to the industry’s 9.3% growth. The company currently has a Zacks Rank #3 (Hold). Other stocks to watch include Cheniere Energy and BP plc, which are expected to benefit from the growing demand for LNG [1].