India's GAIL weighs supply cuts to gas customers after Petronet LNG force majeure

Core Viewpoint - GAIL (India) Ltd is considering supply cuts to its natural gas customers due to a force majeure notice from Petronet LNG, which has been impacted by escalating conflicts in the Middle East affecting LNG shipments [1][1][1] Group 1: Supply Chain Impact - Petronet LNG has issued a force majeure notice to its supplier QatarEnergy and local buyers, including GAIL and Indian Oil Corp, due to constraints on LNG tankers reaching the Ras Laffan loading terminal [1][1] - The allocation of LNG from Petronet to GAIL has been reduced to zero effective March 4, with the potential impact from the force majeure yet to be quantified [1][1][1] Group 2: Market Context - The ongoing U.S.-Israeli conflict with Iran has disrupted fuel shipments from the Gulf, significantly affecting India's LNG imports from Qatar, which is a key supplier [1][1] - In the fiscal year 2024/25, India imported 27 million metric tons of LNG, accounting for approximately half of its total gas consumption [1][1]