India Bolsters Domestic LPG Output Amid Hormuz Strait Uncertainty
India's government has directed state companies and private refiners to boost domestic liquefied petroleum gas (LPG) production in response to ongoing uncertainty over the Strait of Hormuz. The key waterway accounts for about 90% of India's LPG imports, which have been disrupted by the US-Iran war.
The government has set a target for refiners and crude oil explorers to implement measures that can maximize LPG output beyond current minimum producible levels. This includes exploring alternative uses of feedstocks, such as converting naphtha into LPG.
Domestic refiners have already increased production from 36,000 tons per day to as much as 54,000 tons a day to meet demand since the US-Iran conflict began.