India's GAIL Eyes 26% Stake in US LNG Project, Secures 15-Year Gas Supply Pact

Unknown Apr 02, 2026 1 Views

GAIL India Ltd, being the largest gas distributor in India, has published a tender, which seeks to buy as much as a 26% equity stake in an LNG project in the United States. The tender process also seeks an agreement to import LNG at a volume of 1 million metric tons per annum over a 15-year period starting in 2029-2030. This action by GAIL is part of a broader effort by New Delhi to reduce its trade surplus with the United States and increase energy imports.

The tender seeks bids for equity participation in an LNG liquefaction project currently operating or a new project potentially commissioning by 2030, which could extend for another five to ten years. The deadline for responses to the tender is April 28, 2025.

As the world's fourth-largest importer of LNG, India is targeting an increase in the share of natural gas in its energy mix from 6.2% to 15% by 2030. GAIL has already secured long-term operational contracts in place that purchase 15.5 million tons of LNG on an annual basis from suppliers operating out of Qatar, Australia, and the United States.

The efforts come after GAIL ceased a similar effort in 2023 after restrictions were implemented on LNG exports from the Biden Administration, these restrictions were recently lifted during President Donald Trump's administration. Separately, India is also exploring measures to eliminate U.S. LNG import taxes to make the U.S. LNG more competitive while working to further reduce its trade surplus with the U.S., which is now at $45.7 billion.

Source: Reuters

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