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Market Chatter: Indian Refiners Move Closer to Long-Term US LPG Deals

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India could source as much as one-quarter of its 2027 liquefied petroleum gas imports from the US, a move that would diversify supply away from the Middle East while supporting ongoing trade negotiations with Washington, Reuters reported Tuesday, citing three sources with knowledge of the matter.

Indian Oil, Bharat Petroleum and Hindustan Petroleum will seek long-term US liquefied petroleum gas cargoes through tenders within two months. Executives will also visit the US next month for supply talks, the report said.

India stepped up US liquefied petroleum gas buying after Middle East supply disruptions squeezed availability. US imports topped 1 million tons in June for the first time and may surpass this year's contracted volumes.

India's liquefied petroleum gas imports could reach about 20 million tons in 2027 as demand rebounds to roughly 31 million tons after supply shortages this year reduced consumption, the report said.

Indian Oil, Bharat Petroleum, Hindustan Petroleum and India's Ministry of Petroleum and Natural Gas did not immediately reply to' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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