Oct 17 (Reuters) - French oil major Total hassigned a deal with Indian conglomerate Adani Group to re-enterthe South Asian nation's liquefied natural gas (LNG) market andbuild 1,500 retail service stations over the coming decade.
In a joint statement, the two companies said they planned todevelop multi-energy offerings, including LNG regasificationterminals on the country's east coast to meet growing demand forthe cleaner-burning fuel.
"India's energy consumption will grow among the fastest ofall major economies in the world over the next decade," PatrickPouyanné, Total chairman and CEO said in the statement.
The deal comes as oil majors such as Saudi Aramco, Abu DhabiNational Oil Co (ADNOC) and Russia's Rosneft havejoined energy projects in India, drawn by expected rapid growthin fuel demand.
OPEC estimates India will account for about 40 percent ofthe overall increase in global oil demand by 2040.
India is also looking to boost the share of gas in itsenergy mix to 15 percent in the next few years from about 6.5percent now in a bid to reduce its carbon footprint.
The retail service station network would be built on mainroads such as highways and intercity connections to takeadvantage of a market growing at 4 percent a year due to betterinfrastructure and a growing middle class, the statement said.
The partnership with Adani would include the development ofthe Dhamra LNG import terminal, where Adani has signed along-term supply deal with India's state-owned gas supplier anddeveloper GAIL Ltd.
Total wants to market LNG from its own portfolio in India,Pouyanné told reporters on the sidelines of a conference in NewDelhi on Tuesday. He also said that the company is working ongetting a license to enter into fuel retailing in India.
In August, Total exited the Hazira LNG terminal in westernIndia and sold its 26 percent stake in the project to itspartner Royal Dutch Shell.
Pouyanné on Tuesday said his firm had to exit the Hazira LNGproject as Shell wanted greater control over the project.
(Reporting by Mekhla Raina in Bengaluru, Editing by SherryJacob-Phillips and Richard Pullin)
