Petronet seeks US LNG supplies via Qatar long-term contract renewal

Petronet LNG Ltd, which handles the bulk of India's liquefied natural gas imports, is exploring arrangements to source liquefied natural gas from the United States as part of discussions around renewing its long-term supply contract with Qatar, according to senior company officials.

Vivek Mittal, group general manager at Petronet, indicated the company is in active negotiations with Qatari counterparts to incorporate US LNG into its portfolio beginning 2028, when the current long-term agreement is slated for renewal.

The move reflects India's broader strategy to diversify its energy supplies and reduce dependency on any single source. The US has emerged as a significant LNG exporter in recent years, offering India an alternative to traditional suppliers and potentially competitive pricing terms.

Petronet currently operates three liquefaction terminals in India and handles approximately 70 per cent of the country's LNG imports. The company has maintained long-standing supply relationships with multiple producers, including Qatar, which remains one of the world's largest LNG exporters.

The negotiations underscore the evolving dynamics in global energy trade, with major importers like India seeking flexible supply arrangements that balance cost considerations with energy security objectives.