Public sector gas major Gas Authority of India Limited (GAIL) has roped in Sumitomo Corporation of Japan to help expand its global footprint, as per BusinessToday.com. GAIL has signed an MoU with Sumitomo to pursue business opportunities in natural gas and LNG value chain business globally, which will cover cooperation in petrochemicals, natural gas procurement, pipelines and LNG.
CMD Tripathi said, "We are happy to enter into this strategic relationship with Sumitomo with whom we are long-term partners in Cove Point project. There are significant opportunities in the North American gas markets and we are pleased to be partnering with Sumitomo in jointly developing this business." GAIL and Sumitomo hold half of the capacity in the Cove Point LNG Liquefaction Terminal in the US respectively, and have also agreed to coordinate for ensuring smooth operation of the terminal. Both parties view the US market as a growth area for their line of businesses ranging from upstream to downstream.