According to a Bloomberg report, Qatar plans to restore around 50% of its liquefied natural gas (LNG) production within a month of the reopening of the Strait of Hormuz and expects output to reach nearly 80% of normal levels within two months.
Qatar had earlier declared force majeure on certain LNG shipments after the conflict in West Asia disrupted regional energy supply chains.
The development is significant for India, as Qatar remained the country’s largest LNG supplier in 2025, accounting for roughly 45% of total imports.
Petronet LNG has a long-term sales and purchase agreement (SPA) with QatarEnergy for the supply of 7.5 million tonnes of LNG annually. Following its March-quarter earnings, the company had disclosed that three vessels operating under long-term arrangements were affected by force majeure declarations.
The supply disruption had prompted India to diversify its sourcing strategy. LNG imports from the US increased nearly six-fold in May 2026, while supplies from countries such as Oman, Nigeria and Angola gained greater importance in meeting domestic demand.
To secure cargoes amid tight market conditions, Indian buyers were also forced to pay premiums linked to spot LNG prices.
Although global LNG prices have eased from their recent peaks, they remain around 80% higher than levels seen before the outbreak of the conflict.
Petronet LNG shares are currently trading around ₹289. The stock had touched a high of ₹326.40 in February before falling to a low of ₹235.35 in March amid concerns over supply disruptions and higher energy prices.
