Canada assures India of stable LNG supply

published by asingh on Tue, 10/09/2012 - 18:17

India can depend on Canada as a reliable supplier of liquified natural gas (LNG) for decades to come, the country's Minister of Natural Resources, Joe Oliver, said Monday.

"We have vast natural resources in Canada. India, as one of the world's largest energy consumers, is looking to diversify its energy supply sources which Canada is well positioned to fulfil," Oliver told media persons here.

"We see this complementarity as an opportunity to greatly increase our trade and natural resources will be a significant part of it," said Oliver, who is on a five-day visit to advance Canada's natural resource exports.

Canada is the world's third-largest gas producer and has significant supply reserves of up to 1300 trillion cubic feet or 37 trillion cubic metres in natural gas resources.

In its oil reserves too Canada ranks third-largest in the world - 173 billion barrels, 98 percent or 169 billion barrels of which are oil sands.

"With new technology, oil sands reserves could grow to 315 billion barrels, giving Canada the largest oil reserves in the world. Shale oil development could generate billions more... representing a significant supply to meet India's growing demand for years to come," said the minister.

In 2011, India-Canada bilateral trade reached $5.1 billion and two-way investment totalled $5 billion and both countries have targetted tripling annual bilateral merchandise trade to $15 billion by 2015.

Earlier in the day, the minister along with a delegation met Minister of State for Planning and Science and Technology, Ashwini Kumar.

Kumar during the meeting highlighted the need for collaboration in nuclear energy, tidal energy and shale gas between the two countries.

"Canada is one of the world's largest producers of uranium, and we're committed to negotiating the administrative arrangements of the Nuclear Cooperation Agreement on the peaceful uses of nuclear energy announced by our Prime Minister's in 2010," Oliver told a separate gathering of industry representatives.