India sets cooking gas output targets for oil firms amid Middle East war

India has set a maximum daily cooking gas production target of 63,810 metric tons for state-run and private refineries to ensure domestic supplies and build buffers after U.S.-Israeli war against Iran disrupted supplies of the essential fuel, according to an August 13 government order.

Here are more details from the order:

• Companies are required to maintain adequate infrastructure for storing and transporting liquefied petroleum gas (LPG), either directly or through railways and road tankers, to meet specified quantities.

• The federal government will update the targets every January and July to reflect new production and additional output from existing refineries.

• India was buying about 90% of its cooking gas imports from the Middle East before the war on Iran disrupted supplies from March due to the blockade of the Strait of Hormuz.

• India has set production targets for individual refiners with Reliance Industries Ltd's RELI.NS domestic-market-focused refinery tasked to produce 18,000 tons a day of LPG.

• State-run explorers Oil and Natural Gas Corp ONGC.NS and Oil India Ltd OILI.NS, and gas utility Gail India Ltd GAIL.NS are expected to contribute 10% of the nationwide target.

-Reporting by Nikunj Ohri and Nidhi Verma; Editing by Christian Schmollinger/Reuters