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India's urea plants are running at half capacity after force majeure declarations disrupted LNG flows through the Strait of Hormuz amid escalating West Asia tensions, industry sources said on Sunday. Petronet LNG Ltd, which operates India's largest liquefied natural gas receiving terminal, declared force majeure after upstream suppliers cited their inability to deliver contracted volumes amid disruptions to cargoes transiting the Strait, sources said. The move triggered supply curtailments by state-owned gas distributors GAIL (India) Ltd, Indian Oil Corporation Ltd (IOC) and Bharat Petroleum Corporation Ltd (BPCL), which supply gas under RasGas contracts to fertiliser units across the country. "Gas supplies have been curtailed to approximately 60-65 per cent of normal levels," a senior industry official told PTI, adding that when scheduled plant turnarounds over the past six months were factored in, effective supply at some units had fallen below 50 per cent. Urea output at affecte
The Air India Group has been significantly impacted by the Middle East conflict and the financial impact is "yet to be fully felt", according to Air India chief Campbell Wilson, who has also stressed the need for having a tighter-than-ever control of unnecessary expenditure. Loss-making Air India and Air India Express have been grappling with operational disruptions like other airlines since the start of the conflict involving the US, Israel, and Iran on February 28. "In the three weeks since the conflict started, we have had to cancel around 2,500 flights to the region. As of today, we can operate only around 30 per cent of our normal Middle East schedule because airports and/or airspace are closed, or are assessed to be beyond our safety threshold," Wilson said in a message to the staff on Friday. The airline's flights to the UK, Europe, and North America, are also taking longer flight paths due to airspace restrictions in the region, resulting in more fuel consumption. Wilson sa
Engineering, procurement and construction major Larsen & Toubro has not seen any major business impact because of the ongoing Middle East conflict, as nearly 95 per cent of the projects are continuing to function, a top official has said. The company, which gets over 35 per cent of its revenue from the geography witnessing conflict after the US and Israel's attack on Iran and the subsequent retaliations, however, flagged logistics and supply chain as key challenges and noted revenue risks if the situation remains unchanged. L&T does not see any immediate impact on revenues as the 5 per cent of projects where work has been stalled do not contribute significantly to the topline, Subramanian Sarma, its deputy managing director, told reporters over the weekend. However, if the logistical issues do not get resolved in three months, there can be an impact through revenue deferment, he added. The top company official, who directly oversees the energy portfolio, declined to directly ..
Indian companies are facing disruptions ranging from shipment delays to shortages of key raw materials due to the ongoing West Asia conflict, the Confederation of Indian Industry (CII) said on Sunday, highlighting growing stress across sectors dependent on global trade flows. In a statement, CII Director General Chandrajit Banerjee said firms are already seeing "downstream effects" as the conflict disrupts key maritime routes and tightens global supply chains. "Indian companies are experiencing downstream effects, from shipment delays to constraints in key energy inputs, as well as emerging shortages in essential raw materials and intermediates across several sectors that rely heavily on timely cross-border flows," he said. The industry body noted that disruptions have also placed pressure on energy markets and trade, affecting both imports and exports, with ripple-effects being felt across manufacturing and other industries. "The conflict in the Middle East has disrupted critical
Prime Minister Narendra Modi will chair a meeting Sunday evening with senior ministers to review to take stock of petroleum, power, and fertiliser sectors in view of the evolving West Asia situation, sources have said. The focus of the meeting is to ensure uninterrupted supply, stable logistics and efficient distribution across the country, and the government is taking proactive steps to this end, they said. Continuous monitoring of global developments to protect consumer and industry interests is the key focus of the government, they said. On March 12, Modi said that the war in West Asia has triggered a worldwide energy crisis, posing a critical test of national character that requires dealing with circumstances through peace, patience, and increased public awareness. The prime minister emphasised that his government is working relentlessly to address disruptions that have emerged in international supply chains. "Continuous efforts are also underway to determine how we can overco
Developments related to the ongoing conflict in West Asia and its impact on crude oil prices will continue to rule investors' sentiment in a holiday-shortened week ahead, analysts said. Besides, trends in global markets, trading activity of foreign investors and rupee-dollar movement would also drive momentum in equities. Stock markets would remain closed on Thursday for Shri Ram Navami. "This week is expected to remain data-sensitive amid ongoing global uncertainties. Developments in the West Asia conflict and movements in crude oil prices will continue to act as key external drivers and are likely to dictate the near-term market trend. "On the domestic front, investors will closely monitor HSBC Flash PMI data for manufacturing, services, and composite segments, which will provide an early indication of business activity trends," Ajit Mishra -- SVP, Research, Religare Broking Ltd, said. Foreign investors have pulled out Rs 88,180 crore (about USD 9.6 billion) from Indian equities
The Sri Lankan government on Sunday urged the public to use fuel and electricity sparingly to cushion potential shortages amid volatile global oil markets. This came as the island nation raised fuel retail prices at midnight, the second such hike in a week. As a conservation measure, the government had rationed fuel retail distribution based on a QR code issued for each vehicle. "We urge the public to consume electricity and fuel mindfully and limit energy consumption to a minimum," said government spokesman and minister Nalinda Jayatissa. He warned against hoarding fuel and sought information on such attempts. The minister's statement comes in the backdrop of Iran's ongoing war with the US and Israel, which has led to the closure of the Strait of Hormuz, a strategically important choke point for the world's energy supplies. With the two cost escalations, the fuel retail prices are set to return to the levels of the 2022 economic crisis, when the island nation declared its first-
Iranian missiles struck two communities in southern Israel late Saturday, leaving buildings shattered and dozens injured in dual attacks not far from Israel's main nuclear research centre, while President Donald Trump warned the US will "obliterate" Iranian power plants if it doesn't fully open the Strait of Hormuz within 48 hours. The developments signalled the war was moving in a dangerous new direction at the start of its fourth week. Trump -- who is facing increasing pressure at home to secure the strait as oil prices soar -- issued the ultimatum in a social media post while he spent the weekend at his Florida home. Trump said he's giving Iran 48 hours to open the vital waterway or face a new round of attacks. He said the US would destroy "various POWER PLANTS, STARTING WITH THE BIGGEST ONE FIRST!" The Strait of Hormuz, which connects the Persian Gulf to the rest of the globe's oceans, is a critical pathway for the world's flow of oil. Attacks on commercial ships and threats of