Nigeria Raises LNG Export To India Since Iran War- Report

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Share on XTelegram Nigeria heightened Liquified Natural Gas (LNG) export which has helped India to close existing gaps.

India reportedly increased its imports from the US, Oman. Nigeria export significantly since the Iran war.

The country now imports about 68 per cent of its LNG from these suppliers, compared to just 25 per cent last year.

Qatar’s contribution has dropped to 3 per cent from 45 per cent, highlighting a major shift in sourcing strategies. Domestic gas consumption has remained steady, driven by the expanding city gas sector.

India’s LNG imports rose 9 per cent between March and September, with supplies from Nigeria, the US, Oman helping bridge the gap.

A surge in LNG shipments from Nigeria, the US, Oman helped India more than offset the loss of deliveries from Qatar and the UAE, its top two suppliers before the Iran war, lifting overall imports 9 per cent year-on-year during March-September.

The Nigeria, US, Oman accounted for about 68 per cent of India’s LNG imports in the seven months to September, up from 25 per cent a year earlier, according to commodity analytics firm Kpler.

Qatar’s share fell to 3 per cent from 45 per cent during this period, while the UAE’s declined to 8 per cent from 14 per cent.

“The shift demonstrates India’s ability to secure alternative supply, although maintaining import volumes has required greater exposure to flexible international LNG markets and elevated prices,” said Sonal Ranjan, LNG and natural gas market analyst at Kpler.

Since the beginning of the war, on February 28, the US has accounted for 26 per cent of India’s LNG supplies, up from 11.5 per cent a year ago. Oman’s share rose to 22 per cent from 6 per cent while Nigeria’s increased to 19 per cent from 7 per .

Angola’s share expanded to 9.5 per cent from 7.5 per cent.

GAIL’s long-term LNG purchase contracts with US suppliers have helped boost America’s share of the Indian market. India’s LNG demand has been driven mainly by the fertilizer sector which produces an essential agricultural input and is therefore less sensitive to price increases. Fertiliser prices are not market-determined in India, meaning higher production costs add to the government’s subsidy burden.

India is currently sourcing more than a third of its LNG from the spot market, where prices have skyrocketed, industry executives said.

The Japan Korea Marker, the Asian spot LNG benchmark, is currently around $30 per mmbtu. It averaged $20 during March-September, up from $12 in the year-ago period.

By comparison, LNG procured under long-term contracts linked to crude oil would have been much cheaper. At the current Brent price of $110 per barrel, long-term LNG would typically cost around $14 per mmbtu, well below the spot benchmark of $30.

Overall domestic gas consumption has remained steady since the beginning of the Iran war despite higher prices, supported by expanding demand in the city gas sector. Growing adoption of CNG-powered vehicles is boosting consumption, while industries are also switching to natural gas for reliable supplies.

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Join Our WhatsApp Channel –> –> Chika Izuora Chika Izuora is a journalist with Leadership Media Group with over two decades of mainstream journalism experience. A Mass Communication graduate and alumnus of Pan Atlantic University (PAU), he has built outstanding expertise in the oil and gas industry alongside a versatile career as a journalist and author.