PetronetLNG share price falls on issuance of Force Majeure notice

The publicly-listed Petronet LNG has said that in light of the recent and ongoing war in the Middle East region involving Iran and Israel, vessels are unable to safely transit through the Strait of Hormuz to reach Ras Laffan, the loading port of QatarEnergy.

Shares of the company have since traded lower at ₹281 a piece, nearly 9 per cent over the previous session.

Considering the situation and the material risks posed to maritime navigation, the company (Petronet LNG) has issued a Force Majeure Notice to QatarEnergy in respect of its LNG tankers. It further said that QatarEnergy, being the company’s seller, has also issued a notice indicating a potential event of Force Majeure due to the hostilities prevailing in the region. Consequently, the company has issued corresponding Force Majeure notices to its off-takers, namely GAIL, Indian Oil and Bharat Petroleum, under relevant Gas Sale and Purchase Agreements on 3 March 2026.

Acts of War is excluded under Business Interruption Insurance covers taken by Petronet LNG. The likely impact of Force Majeure which is currently an ongoing event cannot be estimated at this point of time. The company is closely monitoring the developments and will keep the stock exchanges informed of any material updates in this regard.