There seems to be a disruption in the supply of LPG cylinders in the country before the festive season. Actually, due to the drone attack on Aramco's plant in Saudi Arabia, there is a possibility of delay in the supply of some shipments of Liquefied Natural Gas (LPG) coming from there. This is when the demand is expected to be very high in the next days due to the festive season.
Indian companies trying to improve supply
Companies like Indian Oil Corp, Bharat Petroleum Corp and Hindustan Petroleum are keenly working to improve the supply of LPG cylinders in the country before Diwali. According to a Bloomberg report, Indian Oil chairman Sanjeev Singh Chauhan said that the company is expecting the demand for LPG to increase significantly next month.
He acknowledged that many shipments arriving in October may be delayed. He said, 'We are working very hard to get additional LPG. Everyone is trying, because October-November are very difficult months. Although he says that there is no problem, he is just taking a little care before the festivals.
India is the second largest importer of LPG in the world
According to the news, the Abu Dhabi National Oil Company has offered two additional shipments of LPG to India due to the crisis arising from Aramco. Both these cargoes will reach India in the next few weeks. India is the second largest importer of LPG in the world and derives almost half of its requirements from foreign suppliers such as Saudi Arabia, Qatar, Oman and Kuwait.
Already the demand for LPG has increased in the country, because LPG connection is being given to every poor family through PM Modi's ambitious scheme Ujjwala.
How was Aramco's plant attacked?
On September 14, a drone attack occurred at two plants of the world's largest oil company Aramco based in Saudi Arabia. After this there was a fierce fire. Both these oil plants are located in Abqac and Khurais areas. It is being told that around ten drones were used in the attack. In Yemen, the Huti group associated with Iran claimed responsibility for this attack.
Due to this attack, oil production in both places was stalled. Aramco is the world's largest oil company. Closed production at both these places is 50 percent of Aramco's total production and 5 percent of global production. After this news, the crisis on the supply of crude oil deepened and the price of crude oil increased.
