GAIL rationing gas as former Gazporm unit cuts supplies

NEW DELHI: India’s largest gas distributor GAIL (India) Ltd has started gas rationing, cutting supplies to fertiliser and industrial clients after imports were hit under its deal with a former unit of Russian energy giant Gazprom, two sources familiar with the matter said.
Lower gas supplies will affect impact India’s urea production, and a sustained cut would lift imports of the soil nutrient, a fertiliser industry source aware of the cuts said.
Neither GAIL nor India’s fertiliser ministry responded to Reuters’ requests for comments.
Gazprom Marketing and Trading Singapore (GMTS), now a subsidiary of Gazprom Germania, has failed to deliver some liquefied natural gas (LNG) cargoes to GAIL and has said it may not be able to meet supplies under their long-term deal.