Indian Oil Corp. is looking at taking 50% ownership stakes in very large gas carriers as it moves to lower transport costs for liquefied petroleum gas shipments from the United States. The plan would mark a first for an Indian refiner and reflects a broader effort to gain more control over freight expenses tied to imported fuel.
The move comes as India prepares for higher volumes of U.S. LPG. With the country aiming to source up to a quarter of its LPG imports from the United States, shipping has become a more important part of the overall supply equation. Owning part of the vessels could help Indian Oil reduce exposure to volatile charter rates and improve supply planning.
Very large gas carriers are commonly used to move LPG over long distances, making them central to trade flows between the U.S. and Asian buyers. By pursuing equity stakes instead of relying only on hired ships, Indian Oil appears to be aligning its logistics strategy with expected growth in imports from the American market.
The development also highlights how energy buyers are increasingly looking beyond commodity prices alone. For major importers such as India, freight costs, vessel availability and long-term shipping access can play a major role in the final economics of LPG supply.
