Qatar halts LNG exports to India amid Iranian drone strikes
India's gas supply just took a major hit after Qatar suddenly stopped nearly half of its LNG exports to the country.
The move came after Iranian drone strikes disrupted production at Qatar's Ras Laffan complex, cutting off 10 to 11 million metric tons of LNG a year, enough to seriously shake up India's energy plans.
In a bid to keep things running
To keep things running, the government quickly slashed gas supplies to industries by up to 20% so homes and CNG stations get first dibs.
Oil imports are being rerouted away from risky Hormuz routes, and refineries are working overtime.
Meanwhile, prices for spot LNG have more than doubled and tanker costs have shot up too, making it even tougher for India to find quick alternatives.
Backup suppliers aren't easy to find
With most of Qatar's LNG going to Asia, finding backup suppliers isn't easy.
Industrial users have faced curtailments, and city gas distributors have warned of possible impacts to CNG and household gas supplies, showing just how connected global events are to daily life back home.