GAIL floats LNG tender for March delivery amid supply disruption: Report

India’s largest gas distributor, GAIL (India) Limited, has issued a tender seeking a cargo of liquefied natural gas (LNG) for delivery later this month as escalating tensions in West Asia disrupt shipping routes and halt production in Qatar. 

According to a Reuters report citing industry sources, the state-run gas major is looking to procure one LNG cargo for delivery between March 15 and March 25, with the tender closing on March 9. 

The move comes as regional conflict has tightened global LNG availability and complicated shipping through key energy routes. Qatar, one of the world’s largest LNG exporters, has been affected by the turmoil, while maritime disruptions have further constrained supply flows to Asian buyers. 

Earlier, GAIL (India) Limited said it was evaluating the possibility of curbing gas supplies to some customers after receiving a force majeure notice from its long-term supplier Petronet LNG Limited. The notice cited constraints on LNG vessels, reflecting the broader logistical challenges emerging from the crisis. 

India relies heavily on imported LNG to meet demand in sectors such as city gas distribution, fertilisers and power generation. Any prolonged disruption to supply routes or production in major exporting nations could tighten domestic availability and push up spot LNG prices.