Newsletter
India’s Gujarat State Petroleum Corporation (GSPC) has signed a 17-year Liquefied Natural Gas (LNG) supply deal with QatarEnergy. Under the agreement, Qatar will supply up to 1 million tonnes of LNG per year starting 2026, delivered directly to Indian terminals.
This is GSPC’s second long-term deal with QatarEnergy after their first pact in 2019.
For India, the deal ensures steady gas supply as demand rises and global prices stay unpredictable.
Operational flow: QatarEnergy will supply the LNG from its liquefaction and export infrastructure. GSPC will receive cargoes at Indian LNG terminals, unload the LNG, regasify it, and then distribute the gas through its pipelines, industrial connections and commercial network.
The agreement likely includes fixed cargo volumes annually and may lock in pricing or supply conditions favourable to India’s energy strategy.
Why it matters: the country is leaning on natural gas as a bridge fuel in its clean energy journey. The goal is to increase gas share in the energy mix to 15% by 2030, up from around 6% now.
Deals like this help India hedge against supply shocks and avoid the steep prices that often hit spot buyers during global disruptions.
Zoom out: India already ranks as the fourth-largest LNG importer in the world, accounting for about 7% of global imports. The country currently operates eight LNG terminals with a combined capacity of 52.7 million tonnes and plans to scale that up to 66.7 million tonnes by 2030, a 27% jump.
Just earlier, Petronet LNG renewed its own Qatar deal until 2048 for 7.5 mtpa, underscoring how Qatar remains India’s most reliable energy ally.
