Exxon Mobil acquires stake in Petronet LNG

Exxon Mobil, the US based oil and gas firm, has decided to pick up a 10 per cent equity stake in Petronet LNG Ltd or PLL, India''s first regassified liquid natural gas company. PLL has just completed the construction of its 2.5 million tonne regassified terminal project at Dahej in Gujarat.

Exxon has informed PLL of its decision to pick up the equity which it may share with Qatar Petroleum, with which it is involved in the Rasgas project, the LNG supplier for PLL. This was disclosed by merchant banking sources close to development said. PLL is a consortium between the Indian Oil Corporation Ltd, Bharat Petroleum Corporation Ltd, Gas Authority of India and the Oil and Natural Gas Corporation Ltd, all of which hold 12.5 per cent stake each. The project consultant, Gaz De France, the French gas major, also holds a 10 per cent stake.

Meanwhile, PLL has appointed DSP Merril Lynch, J M Morgan Stanley, ICICI Securities, Enam Securities and SBI Caps as merchant bankers for its initial public offering of 26.5 crore shares. The shares will be listed on the Bombay Stock Exchange and the National Stock Exchange. The company plans to raise around Rs 1,000 crores through its IPO due by February, this year. "PLL has finalised the details about the issue and the IPO prospectus will be filed with the Securities and Exchange Board of India this week." SBI Caps officials said.