GAIL (India) Limited (GAIL), the Company’s supplier of Re-gasified Liquefied Natural Gas (RLNG), has received a Force Majeure Notice from its upstream supplier, Petronet LNG Limited (PLL), citing transit constraints affecting the supply of LNG, the company , a joint sector enterprise promoted by the Government of Gujarat and the Gujarat State Fertilizers & Chemicals Ltd.(GSFC), said.
Since the supply of RLNG to Gujarat Narmada Valley Fertilizers & Chemicals Limited (GNFC) under its agreement with GAIL is dependent upon the receipt of RLNG by GAIL from PLL, GAIL has consequently issued a Force Majeure Notice to GNFC, it said.
Accordingly, due to the supply constraints, the allocation of RLNG quantities to GNFC under the Supply Agreement has been restricted to 60 per cent of the Daily Contracted Quantity (DCQ) on an overall basis with effect from 6 March., the company said.
This will have an impact on the production of Neem Urea. However, the manufacturing of other products is not affected as of the current date, it added.
The likely impact of Force Majeure which is currently an ongoing event cannot be estimated at this point of time, the company said.
Also read: https://industrialeconomist.com/west-asia-conflict-a-look-at-potential-sectoral-impact/
