Business Units or Product Lines

Petronet LNG Ltd. operates primarily in the natural gas sector, with key business units including the import and regasification of liquefied natural gas (LNG). The company manages two major terminals located at Dahej and Kochi, where LNG is offloaded, stored, and converted back into gas for distribution.

Business Models for Each Product Line

Petronet LNG generates revenue through the import and regasification of LNG, which it sells to a range of consumers, including power producers, fertilizer companies, and industrial users. Major expenses include the cost of LNG imports, terminal operations, and other logistics. The company also engages in agreements and partnerships for LNG sourcing and supply.

Future Opportunities for Growth

Petronet LNG is poised to benefit from the rising demand for cleaner energy alternatives and the Indian government’s emphasis on increasing the share of natural gas in the country’s energy mix. Expansion of existing terminal capacities and diversification into new LNG-related ventures pose significant growth opportunities.

Potential Major Risks

The company faces potential risks from fluctuating global LNG prices, geopolitical tensions affecting supply, foreign exchange volatility, and policy changes impacting the import and use of LNG in India. Additionally, competition from alternative energy sources and changes in environmental regulations pose challenges to its business.