Top sources in Petronet LNG told The Financial Express that 11 consortium have responded to the pre-qualification bids floated by Petronet LNG for the EPC contract for its Kochi subsidiary a couple of months back. The consortium that evinced interests are Floar Danial-Mitsubushi Heavy Industries, Daewoo, Hyundai, IHI, NKK, Tecnhi Gas, Chiyoda L&T, JCC Khelogg and the British giant Bechtel.

The company has sorted the pre-qualificationbids and will float the tenders before August. Petronet is understood to have picked up 6-7 consortium from the 11 bidders and will announce their name in two weeks time.

Sources said the company management has decided to float the bid document for the Kochi project only after finalising the patterns and standards of the same for its Dahej project. "We want all our bid documents and procedures having the same yardsticks. The conditions for the Dahej EPC contract is being worked out and once it is completed the same formalities will apply for the Kochi project", the source said.

He also revealed that the management has decided to commission the Dahej project ahead of the Kochi venture. "The demand for Gas in Dahej is considerably high compared to Kochi. Considering this, we have decided to give priority to Dahej project", the source said.

However, he hastily added that the time frame set by the promoters for completing the Kochi terminal still holds good. Petronet LNG, the country's first pipelineventure promoted by a consortium of public sector hydro carbon majors had recently finalised the detailed feasibility report (DFR) for the Kochi venture. The DFR, which was jointly prepared by four consultants, Flour Daniel India Ltd, Mitsubushi Heavy Industries Ltd of Japan, Project and Development India Ltd and Federik Harris of the US, has estimated a total investment of Rs 1,500 crore for the 2.5-million tonne Kochi LNG terminal. The project is slated to go on stream by 2002.

Of the Rs 480-crore equity part, the promoters will hold 51 per cent stake while the Kerala government has picked up 11 per cent stake in the venture. A clutch of financial institutions and overseas bodies have also evinced keen interest in picking up stake in the venture.

The company had tied up with the Rasgas-Mobil of Qatar for the supply of LNG to the tune of 10.5 mmtpa for the project. Rasgas-Mobil, a joint venture promoted by Ras Laffan LNG of Qatar and US multinational Mobil LNG, had bid together for the supply contractand was picked out of seven bidders shortlisted from a global tender. The Indian Market Research Bureau, which explored the market potential of the venture, has identified local Independent Power Producers (IPPs) as potential customers. The company got a leg up even at the drawing board stage with Siasin Energy Ltd, promoters of the 1200-MW Vypin Power Project Ltd, signing an MoU for the supply of 200 million cubic meters of gas per day. Talks are on with other IPPs, including the 2,000 MW NTPC's Super Thermal Power Plant coming up in Kayamkulam and the 160-MW BSES Kerala Power Ltd, for the supply of gas. The public sector Fertilisers and Chemicals Travancore Ltd has also signed an MoU with the pipeline company to lift gas from the Kochi terminal.

The Enron subsidiary, Kannur Power Project Ltd is the latest company to tie up with Petronet for the supply of gas for its 600 mw thermal plant to be set up in Kannur in northern Kerala.