Indian Oil LPG Losses Widen Amid Middle East Supply Crisis
Indian Oil Corp is losing 617 rupees per LPG cylinder this month as the Iran war drives up prices and disrupts Middle East supplies. The state-run retailer is diversifying its sourcing and expanding refinery capacity to ensure domestic energy security.
INDIAN OIL CORP LTD is losing 617 rupees ($6.39) per cylinder of liquefied petroleum gas (LPG) as of May 19. This loss jumped from 171 rupees in April after conflict involving Iran drove energy prices higher. The widening deficit strains the margins of the top fuel retailer in India during its worst gas crisis in decades.
### War Disrupts Middle East Energy Flows The closure of the Strait of Hormuz following the United States and Israel war with Iran has blocked primary supply routes. India imports about 60% of its LPG, with 90% of those shipments typically originating from the Middle East. Finance chief Anuj Jain said on Tuesday during an analyst call that the company lost only 100 rupees per 14.2-kilogram cylinder between January and March.
