Gujarat Narmada Valley Fertilizers & Chemicals Limited (GNFC) has announced that due to the ongoing Middle East conflict, its LNG supply has been curtailed. GAIL (India) Limited, citing force majeure from Petronet LNG, has restricted RLNG allocation to GNFC to 60% of contracted volumes, impacting Neem Urea production.
Gujarat Narmada Valley Fertilizers & Chemicals Limited (GNFC) has formally notified stock exchanges about a significant disruption in its LNG supply chain. The company revealed that GAIL (India) Limited, its RLNG supplier, has invoked force majeure after Petronet LNG Limited reported transit constraints caused by the ongoing Middle East war.
Key Highlights
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GNFC’s RLNG allocation has been reduced to 60% of its Daily Contracted Quantity effective March 6, 2026
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Neem Urea production is directly impacted, while other product lines remain unaffected as of now
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The company has stated that the full impact of this force majeure event cannot be estimated at present
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GNFC is closely monitoring developments and has assured exchanges of timely updates on material changes
This development underscores the vulnerability of India’s fertilizer sector to global energy supply shocks, particularly in volatile regions. Investors and stakeholders will be watching closely for GNFC’s contingency measures and potential government interventions to stabilize fertilizer output.
Source: Gujarat Narmada Valley Fertilizers & Chemicals Limited, GAIL (India) Limited Disclosure to Stock Exchanges