Indian Oil Boosts LPG Output Amid Strait of Hormuz Disruptions

Indian Oil Corporation (IOC) increased liquefied petroleum gas (LPG) production by nearly 30% and kept its refineries running above full capacity to maintain energy supplies despite disruptions through the Strait of Hormuz.

The Strait, which connects the Gulf to the open ocean, is a critical chokepoint for global oil trade, with around 45% of India's crude imports and nearly 90% of LPG imports passing through it. IOC Chairman Arvinder Singh Sahney said that the company responded quickly to the crisis by diversifying crude sourcing, adjusting refinery operations, and strengthening supply-chain coordination.

IOC processed a record 75.45 million tonnes of crude during the year ended March 2026, while pipeline throughput reached an all-time high of 102.52 million tonnes. The company also maintained product availability across the country despite having to move away from Middle Eastern crude grades.

The West Asia conflict has put pressure on global energy markets, forcing IOC to rework refinery operations and secure supplies from alternative geographies. Sahney emphasized that energy security depends not only on scale but equally on agility, diversification, and preparedness.