Oman overtook the US as India's largest supplier of liquefied natural gas (LNG) in September, as disruptions to shipments through the Strait of Hormuz reshaped the Indian gas imports.
India's total imports of LNG rose 7 percent year-on-year, despite a dramatic reduction in volumes shipped from Qatar, based on analysis by commodities data company Kpler.
Oman supplied India with about 590,000 metric tonnes of LNG, while the United States delivered 340,000 metric tonnes of LNG, having dominated imports from India last month. Nigeria became the second-biggest shipper to India, followed by America and the United Arab Emirates.
American deliveries declined, as European buyers ramped up LNG procurement in preparation for winter months. Over half of American LNG exports headed for Europe in September, according to financial data group LSEG, reported Reuters.
India's strategy is to find alternative sources away from the Strait of Hormuz, where navigation routes have been significantly affected ever since the United States and Israel launched their campaign against Iran back in February. Unlike Qatar and the UAE, which use the waterway for LNG transit, Oman does not depend on the strait for its LNG shipments.
The volume of LNG exported to India from Qatar decreased by almost 90 percent in September. In March, Qatar’s Ras Laffan Energy Complex was attacked by Iran. Shipments were still restricted due to security concerns in the region. The US continued to supply the maximum volume of LNG to India, followed by Oman, according to Kpler.
India has been dependent on imports for meeting about half of its total demand for natural gas. Uses include fertilizers manufacturing, residential fuel supply, electricity generation, and industries.
According to Sonal Ranjan, LNG and Natural Gas Analyst at Kpler, India’s demand for LNG will continue to be robust till the end of 2026 backed by higher usage of city gas and lower production, as reported by the Indian Express newspaper.
