H-Energy plans to invest in truck loading facility at its Jaigarh LNG terminal to facilitate LNG supply through road tankers. Accordingly, H-Energy shall offer LNG supply to customers through cryogenic tank trucks to City Gas Distribution (CGD) companies, Industries and fuel retailers by the following ways:
A. Providing end-to-end solutions to CGD companies for LCNG Stations
B. Supplying LNG to Industrial Customers
C. Supplying LNG to Fuel Retailers
A.Providing end-to-end solutions to CGD companies for LCNG Stations
PNGRB has provided authorization for several Geographical Areas (GAs) to set up CGD network across the country which includes the recent authorization for 136 GAs in 9th and 10th CGD rounds covering 298 districts. However, there are infrastructure challenges in terms of connecting these GAs with the National Gas Grid. In order to address the given infrastructure challenges, newly authorised CGD companies would look to generate gas sale revenue by installing LCNG stations in their authorised GA’s. Also, with the marketing exclusivity of many GA’s being over, there will be enough opportunity shortly for third party entities to invest in LCNG infrastructure.
Station Drawing (LCNG)
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CNG revenue flow gets preponed and creates an opportunity to generate revenue at an earlier date -
LCNG stations can be relocated once CGD network is established -
LCNG stations have good resale value -
Lower OPEX as compared to standard CNG station with compressor
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H-Energy shall facilitates supply of LNG to CGD companies who don’t have CGD infrastructure ready by offering them end-to-end solution wherein LNG is supplied through trucks to LCNG stations -
H-Energy shall offer LCNG station on Build, Own & Operate model, thereby enabling CGD entities to focus on their core business of gas distribution
B. Supplying LNG to Industrial Customers
LNG can replace other alternative fuels like LPG, Propane, Furnace Oil, etc in industries where there is no Natural Gas pipeline connectivity. LNG can be stored in cryogenic tanks and vaporized to feed downstream pipeline for low pressure application.
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LNG is safer than other petroleum fuels -
Easy availability of LNG -
Lower safety area requirement for installing LNG storage system as compared to other gaseous fuels like LPG & Propane -
Lower CAPEX investment in fire-fighting systems as compared to other gaseous fuels -
Lower operating cost
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H-Energy offers both Ex-terminal and Delivered supply of LNG to industrial customers
C. Supplying LNG to Fuel Retailers
LNG has been recognized as vehicle fuel by regulatory authorities in India. Fleet operators of long haul trucks and buses lookout to convert their diesel vehicles to LNG. Further, the Ministry of Petroleum and Natural Gas has revised guidelines for marketing transport fuels wherein the fuel retail sector is being opened to new entrants for retailing of conventional fuel like Diesel and Gasoline including the mandatory requirement of having at least one non-conventional fuel like LNG at Retail Outlets.
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It is seen that there are approximately 15-25% savings in energy terms while using LNG over Diesel in Long-Haul Vehicles -
LNG Vehicles meet BS-VI emission rules -
LNG Vehicles travel distance 600-700 km in a single fill
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H-Energy offers to support fleet operators in their endeavor to convert Diesel vehicles to LNG and also provide LNG Dispensing infrastructure support -
H-Energy offers to supply LNG to Fuel retailers including new entrants establishing Multi-fuel retail outlets