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India Seals First US LPG Supply Deal for 2026 Covering 2.2 MTPA, About 10% of Imports

The one-year contract benchmarked to Mont Belvieu diversifies sourcing away from West Asia to strengthen energy security.

Overview

  • Petroleum Minister Hardeep Singh Puri said IOC, BPCL and HPCL have finalized a US Gulf Coast supply deal for the 2026 contract year.
  • Pricing is linked to the Mont/Mount Belvieu benchmark after joint PSU teams held months of talks with major American producers.
  • Industry sources cited by The Indian Express report the joint tender went to Chevron, Phillips 66 and TotalEnergies Trading.
  • The government highlights consumer protection, noting Ujjwala beneficiaries paid Rs 500–550 per cylinder last year as over Rs 40,000 crore in subsidies offset costs above Rs 1,100.
  • The agreement lands as India and the US discuss a broader trade package, with coverage noting recent US tariff actions and growing bilateral energy ties.