India’s biggest state-owned refiner Indian Oil Corp Ltd said on Wednesday that a gradual rise in India’s natural gas consumption could reduce local diesel demand. “Rising use of gas to begin denting diesel demand in five to seven years,” said B.V. Ramagopal, the director of refineries at Indian Oil.

Keeping in mind the increasing demand of natural gas in the country, the company is currently in the process of expanding its natural gas business, said Ramagopal.

Indian Oil is building up a liquefied natural gas terminal in the eastern coast of India and has been aggressively bidding for city gas distribution projects in the last few months.