Indian Industries Face LNG Supply Cuts As Middle East Conflict Disrupts Gulf Shipments

The US-Israeli-Iran war has disrupted Middle East fuel shipments, affecting India's Liquefied Natural Gas (LNG) imports from key supplier Qatar.

Several Indian industries are being impacted as India, the world's fourth-largest LNG buyer, rations supplies.

India's gas marketing company, GAIL (India) would weigh curbing supplies to natural gas customers after a force majeure notice from long-term supplier Petronet LNG over vessels constraints.

ONGC Petro Additions is operating its Dahej gas cracker in western India at a "drastically" lower capacity due to falling supplies of gas and other feedstock.

Adani Total Gas has sharply raised prices for supplies to industrial clients, citing lower gas availability due to conflict in the Middle East.

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Gujarat Gas, which supplies gas for domestic and industrial clients, has declared a force majeure to restrict gas supplies to industries from Thursday.

Lower gas supplies have marginally hit production at some Indian fertiliser companies, including the Indian Farmers Fertiliser Cooperative Ltd and Kribhco Fertilizers Ltd.

Some small steel producers in the western state of Gujarat have been affected by gas supply cuts, while leading steelmakers say they have at least a month of inventory before the situation worsens.