Petronet LNG reported strong Q3 FY’26 performance, processing 233 TBTU of LNG, a 2% volume growth. PBT grew 6% sequentially to INR 1,144 crores. Management detailed plans to ramp up Dahej capacity to 22.5 MMTPA by year-end and announced substantial capex of INR 9,000 crores for FY’27, largely dedicated to the petrochemical expansion. Focus remains on improving capacity utilization across terminals.
Q3 FY’26 Performance Overview
Petronet LNG (PLL) delivered a robust operational and financial performance for the quarter ended December 31, 2025. The overall LNG volume processed stood at 233 TBTU, reflecting a 2% growth over both the previous quarter and the corresponding quarter (which stood at 228 TBTU).
Terminal Performance
- Dahej Terminal: Throughput was 214 TBTU, with capacity utilization improving to 94% (up from 92% in the previous quarter).
- Kochi Terminal: Achieved its highest ever capacity utilization of 29% during the quarter.
Financial Highlights (Quarterly)
On the financial front, the company reported a Profit Before Tax (PBT) of INR 1,144 crores for the quarter, registering a 6% growth over the previous quarter (INR 1,083 crores). Profit After Tax (PAT) for the quarter stood at INR 848 crores, marking a 5% growth over the previous quarter.
Financial Highlights (9 Months Ended Dec 31, 2025)
The overall LNG volume processed over the first nine months stood at 682 TBTU. PBT for the period was INR 3,363 crores, and PAT stood at INR 2,505 crores.
Operational Updates and Capacity Expansion
Management provided clarity on the planned capacity expansion at the Dahej terminal. The present capacity of 17.5 MMTPA is being ramped up to 22.5 MMTPA by the end of the current financial year, with mechanical completion targeted by March 31st. The company is actively engaging customers for securing agreements for this incremental 5 MMT capacity.
Regarding Kochi connectivity, the connection to the natural gas grid via the pipeline is expected by June 2026, which is anticipated to significantly boost demand from the CGD sector, which management believes will grow four to fivefold over the next 4 to 5 years.
Capital Expenditure and Project Timelines
Significant capital expenditure is planned for upcoming projects, particularly the petrochemical plant and the third jetty.
Capex Guidance:
- FY’26 (Current Year): Approximate capex outlay is targeted around INR 3,000 crores.
- FY’27: Targeting spending of around INR 9,000 crores. The main outflow will be for the petrochemical (petchem) project, estimated at INR 7,500 crores, with the balance allocated to the third jetty completion (budgeted around INR 600-800 crores).
- Petrochemical Capex: The total approved capex for the petchem project is INR 20,685 crores.
- Gopalpur: Major capex for the Gopalpur terminal is expected to commence in FY’28, following environmental clearances. The total capex scheme for Gopalpur is approximately INR 6,000 crores.
Contractual Status
Regarding long-term contracts at Dahej, 16.25 million tons (out of 17.5 MMT existing capacity) are committed on a long-term or midterm basis under firm use-or-pay agreements, including the recently signed framework agreement with ONGC.
UOP Charges Update
The company confirmed that the INR 49 crores in user pay dues arising in CY ’25 have been recognized as revenue, although cash realization is pending clearance from bank guarantees expiring in March.
Source: BSE
