Indian Oil is seeking 50 percent stakes in very large gas carriers to cut the freight cost of US LPG

India's Indian Oil Corp. is seeking 50 percent ownership stakes in very large gas carriers, a first among Indian refiners. The news was published on Wednesday, 29 July 2026 (7 Mordad 1405), and follows India's plan to source up to a quarter of its LPG imports from the United States in 2027 and to reduce its exposure to charter-market freight rates.

According to the report, Indian Oil is accepting bids for ships with carrying capacity between 80,000 and 93,500 cubic metres, and eligible vessels must be no more than 12 years old. A pre-bid meeting is set for 5 August and the deadline for commercial and technical bids is 7 September 2026. Acquired vessels will be registered under the Indian flag.

In 2025 India sourced about 90 percent of its 21.85 million tonnes of LPG imports from West Asia, with imports covering 66 percent of domestic consumption. The war and the closure of the Strait of Hormuz produced India's worst LPG shortage this year and exposed freight as the main constraint: cargoes from the US Gulf Coast travel a far longer route to India. India expects LPG imports to reach about 20 million tonnes next year.