Indian public sector oil companies have finalised a one-year agreement to import around 2.2 million tonnes per annum (MTPA) of liquefied petroleum gas (LPG) from the US Gulf Coast for the 2026 contract year, Petroleum and Natural Gas Minister Hardeep Singh Puri announced on Monday.
Calling it a &ldquo;historic first,&rdquo; the minister said the agreement marks a major step as &ldquo;one of the largest and the world&rsquo;s fastest growing LPG market opens up to the United States&rdquo;.
He said the government has been diversifying LPG sourcing to ensure affordable and secure supplies for consumers. 
&ldquo;In our endeavour to provide secure affordable supplies of LPG to the people of India, we have been diversifying our LPG sourcing,&rdquo; Puri said in a post on X.
The deal accounts for nearly 10% of India&rsquo;s annual LPG imports and is the first structured US LPG contract for the Indian market. 
It will be benchmarked to Mount Belvieu prices.
According to the minister, teams from Indian Oil, BPCL and HPCL visited the US in recent months to hold discussions with major American producers, culminating in the agreement.
Puri highlighted efforts to keep domestic LPG prices in check despite global volatility. 
He noted that under the leadership of Prime Minister Narendra Modi, PSU oil companies have ensured LPG availability at some of the world&rsquo;s lowest prices.
&ldquo;Even as global prices soared by over 60% last year, PM Modi ensured that our Ujjwala consumers continued to receive LPG cylinder at just ₹500&ndash;₹550 whereas the actual cost of the cylinder was over ₹1,100,&rdquo; he said, adding that the government absorbed over ₹40,000 crore last year to shield households from rising international prices.
&mdash;IANS

India has secured a significant energy deal with the United Statesagreement

India inks first structured US LPG deal, securing 2.2 MTPA supply for 2026

India Seals 2.2 MTPA LPG Supply Deal With US

India inks first structured US LPG deal, securing 2.2 MTPA supply for 2026

November 17, 2025 | 16:06 IST