India's Major LNG Deals: Fueling Future Energy Needs

Indian Oil Corporation has signed a $1.3-1.4 billion deal with Trafigura for 2.5 million tonnes of LNG to meet India's energy demands. Other agreements by IOC and GAIL aim to increase the share of natural gas in India's energy basket, supporting its transition to cleaner fuels.

The Indian Oil Corporation, India's leading oil firm, has inked a multi-billion dollar deal with Trafigura to procure 2.5 million tonnes of liquefied natural gas (LNG). This move is part of India's efforts to meet its soaring energy needs, according to Chairman A S Sahney.

Under the agreement, Trafigura will supply 27 cargoes of LNG starting the latter half of 2025. This comes as India's natural gas demand continues to surge, fueled by its role as a transitional energy source. Apart from industrial use, natural gas is crucial for CNG vehicles and domestic cooking fuel.

Apart from this, state-run GAIL (India) Ltd and HPCL have also forged strategic LNG agreements with major global players, boosting India's energy security. These initiatives align with India's objective to enhance the natural gas share in its energy mix to 15% by 2030.

(With inputs from agencies.)