GAIL (India) Limited has informed stock exchanges that LNG supplies under its long-term contract with Petronet LNG Limited have been disrupted after the supplier issued a Force Majeure notice citing shipping constraints and regional tensions in the Middle East.
According to the company’s regulatory filing, Petronet LNG issued the Force Majeure notice on March 3, 2026, under the Gas Sale and Purchase Agreement with GAIL. The disruption stems from constraints faced by certain LNG vessels due to maritime navigation restrictions linked to the strategically important Strait of Hormuz during transit between India and Qatar. The situation has also reportedly been compounded by a possible shutdown at the liquefaction facility in Ras Laffan Industrial City.
Following the development, Petronet LNG has imposed supply restrictions and reduced the LNG allocation to GAIL under the contract to zero with effect from March 4, 2026. The move comes after Petronet LNG received communication from its upstream LNG supplier, QatarEnergy, which indicated the possibility of a Force Majeure event due to recent hostilities in the region.
GAIL stated that it is currently assessing the situation and evaluating whether any supply curtailment may be required for its downstream customers as a result of the disruption. The company noted that LNG supplies from other sources and suppliers remain unaffected for now, which may help cushion the immediate impact.
At present, the potential financial or operational impact of the ongoing Force Majeure situation cannot be quantified, as the developments continue to evolve. GAIL said it is closely monitoring the situation and will keep the stock exchanges informed of any material updates.