Industrial gas distribution in India reduced after supply disruption in Qatar
By Muhammad MubashirPublished On 04 Mar 2026
Qatar halted its liquefied natural gas production on Monday, as Iran continued to strike Gulf countries in retaliation for Israeli and U.S. strikes against it. The attacks have also halted oil and gas shipments through the Strait of Hormuz, driving up global energy prices and shipping costs.
ndia, the world’s fourth-largest buyer of LNG, relies heavily on the Middle East for its imports.
Top LNG importer Petronet LNG Ltd has informed GAIL (India) the top gas marketing company, and other companies about lower supplies, two of the sources said.
The South Asian nation is the top LNG client for Abu Dhabi National Oil Company and the second-largest buyer of Qatari LNG.
GAIL and Indian Oil Corp informed customers of the gas supply cut late on Monday, one of the sources said.
The cuts range from 10% to 30%, two of the sources said.
The cuts have been set at minimum lifting quantities that would shield the suppliers from any penalties from the customers based on contractual terms, the sources said.
GAIL, Petronet and IOC were not immediately available for comment. The sources declined to be named because they were not authorised to speak to the media.
To make up for the LNG shortfall, companies including IOC, GAIL, Petronet LNG are planning to issue spot tenders, two of the sources said, although spot prices, freight, and insurance costs have surged.
