State-owned IndianOil on Wednesday said it will set up an LNG re-gasification terminal and a gas-based power plant at suburban Ennore at an investment of Rs 8,000 crore in joint venture with Tamil Nadu Industrial Development Corporation (TIDCO).
The MoU was signed by IndianOil Chairman B M Bansal and Tamil Nadu Industries Principal Secretary Rajeev Ranjan in the presence of Chief Minister M Karunanidhi, a company statement here said.
The MoU encompasses setting up of a 2.5 million tonnes per annum LNG terminal at a cost of Rs 3,000 crore, it said, adding the capacity (of the terminal) can be increased to five million tonnes.
The complex at Ennore would include a 1000MW LNG-based Power Plant that would cost around Rs 5,000 crore.
Under the MoU, IndianOil and TIDCO would jointly set up the LNG import and re-gasification terminal, including marine facilities, LNG based Power Plants, Gas Grid in Tamil Nadu in addition to participating in gas distribution business.
The Ennore Gas Terminal was expected to be commissioned by 2014-15, it said.