Natural Gas is the cleanest and most efficient of the fossil fuels. The share of fossil fuel coal, oil and natural gas in the global primary energy mix is around 80-85% and is expected to retain a dominant share of the global primary energy mix, although this share is experiencing a slow, gradual decline due to the rapid growth of renewables (including solar, wind, Biofuel, Nuclear and Hydro).
Natural Gas is used as feedstock in several industries like fertilizers, refinery, plastics and other commercially important organic chemicals and used as a fuel for power generation, heating purpose in industrial and commercial units. Natural Gas is also used for cooking in domestic households and as a transportation fuel for vehicles.
In its Report on World Economic Outlook (April 2025), IMF had stated that the global economy is now characterized by a high degree of economic and financial integration with supply chains and financial flows crisscrossing the world whose potential unwinding could constitute a major source of economic upheaval. In 2025, the world witnessed not only the unwinding of these integrations but even disruptions to supply chains of an unprecedented manner.
The year 2025 began with headwinds from trade barriers and high tariffs imposed by USA and this created elevated uncertainty around the international trade network. Situation was further exacerbated by the war in Gulf region, which through its impact on commodity markets, inflation expectations and financial conditions, is disrupting all economies worldwide. A Goldman Sachs Report states that annual average of Real GDP Growth globally remained range bound at 2.8% for 2025 (refer to Figure 1 below):
Figure 1: Real GDP Growth
| 2024 Actual | 2025 Goldman Sachs | 2025 Consensus | 2026 Goldman Sachs | 2026 Consensus | |
| USA | 2.8 | 2.0 | 2.0 | 2.6 | 2.0 |
| Euro Area | 0.8 | 1.5 | 1.4 | 1.3 | 1.1 |
| Japan | 0.8 | 1.2 | 1.2 | 0.8 | 0.7 |
| China | 5.0 | 5.0 | 4.9 | 4.8 | 4.5 |
| India | 6.7 | 7.6 | 7.5 | 6.7 | 6.5 |
| World | 2.8 | 2.8 | 2.7 | 2.8 | 2.5 |
(Source: Goldman Sachs Research, December 2025)
The 2026 Middle East conflict has severely disrupted the global gas sector, causing over 40% spikes in Natural Gas prices and threatening critical supply chains, particularly impacting LNG exports from the Gulf. Closure of the Strait of Hormuz and attacks on Energy Infrastructure have prompted energy shocks, creating shortages and forcing major economies to face rising inflation and potential recessionary risks.
Crude oil prices surged above $100 per barrel during the March-April 2026 conflict in Middle-East, peaking near $120 due to fears of supply disruption through the Strait of Hormuz. Prices rose around 50% with Brent exceeding $119 by late March. Prices continued to fluctuate wildly over uncertainties once ase fire and uncertainties on opening of Strait of Hormuz.
Figure 2: Brent Prices
| Period | Brent Spot Average ($/barrel) |
| Q1 2025 | 75.83 |
| Q2 2025 | 68.01 |
| Q3 2025 | 69.00 |
| Q4 2025 | 63.63 |
| Q1 2026 | 81.11 |
| Q2 2026 | 114.60 |
| Q3 2026 | 99.80 |
| Q4 2026 | 88.00 |
| Q1 2027 | 81.90 |
| Q2 2027 | 78.00 |
| Q3 2027 | 75.02 |
| Q4 2027 | 69.94 |
(Source: U.S. Energy Information Administration Short-Term Energy Outlook - April 2026)
With regards to gas markets, Global gas consumption is estimated to have increased by 1.2% to reach 4,217 BCM in 2025, following strong growth of 2.5% in 2024.
It is expected that global gas demand during the 2024-2030 period may witness an annual average growth rate of nearly 1.5%. Fundamental drivers alone, including existing projects, policies, projections of economic activity and prices corresponding to the current forward curve, can support a 380 BCM increase (Base case).
Figure 3: Projected global gas consumption growth by sector
| Year | bcm |
| 2024 | 4,217 |
| 2030 base case | 4,597 |
| 2030 high case | 4,697 |
(Source: IEA Gas 2025, Analysis and Forecasts to 2030)
However, the escalating conflict in the Middle East poses a major threat to all projections. The loss of nearly 20% of global Liquefied Natural Gas (LNG) supply due to the effective closure of the strait is distorting short to medium term gas market fundamentals. IEA estimates that the Gulf conflict may lead to a loss of over 120 BCM of cumulative LNG supply in the 2026-2030 period.
Figure 4: Cumulative Impact of Middle East conflict
| Category | bcm |
| Actual supply loss (March - April 2026) | ~20 |
| Phased restart of non-damaged trains | ~20 |
| Ras Laffans damaged trains | ~100 |
| North Field East delay | ~120 |
| Cumulative losses | ~120 |
(Source: IEA Gas Market Report, Q2 2026)
The Middle East crisis represents a major supply shock to global gas and LNG markets. Natural Gas demand fell in key LNG import markets in March, 2026, driven by a combination of weather-related factors, higher prices and demand-side policy measures.
The current crisis highlights the need for continued adequate investments across the gas and LNG value chains and other sources of energy (including electricity) to strengthen supply security and support balanced growth.
The robustness of Indias economy was evident in 2025, when it became worlds fourth-largest economy. In January 2026, India reached a definitive turning point in the global economic order, officially overtaking Japan to become the worlds fourth-largest economy with a GDP of approximately $4.19 trillion.
Figure 5: India GDP Growth
| Year | Nominal GDP (\u20b9 lakh crore) | Real GDP growth (%) |
| FY16 | 137 | 8.0 |
| FY17 | 153 | 8.3 |
| FY18 | 170 | 6.8 |
| FY19 | 189 | 6.5 |
| FY20 | 201 | 3.9 |
| FY21 | 198 | -5.8 |
| FY22 | 235 | 9.1 |
| FY23 | 269 | 7.6 |
| FY24 | 295 | 9.2 |
| FY25 (PE) | 330 | 6.5 |
| FY26 (FAE) | 357.1 | 7.6 |
| FY27* | - | 6.8 |
(Source: Economic Survey 2025-26 Highlights)
Indias real GDP grew 8.2% in Q2 of Financial Year 2025-26, up from 7.8% in the previous quarter and 7.4% in Q4 of Financial Year 2024-25, led by resilient domestic demand amidst global trade and policy uncertainties. Indias growth is supported by low inflation, stable employment, and strong agricultural performance. With a fragile global environment, Indias growth is holding up better than expected but risks remain elevated amid intensifying geopolitical tensions, trade fragmentation and financial vulnerabilities.
In the absence of the conflict, Indias GDP growth was projected at 7.2%, reflecting a better-than-expected Financial Year 2025-26 outturn and a broad pro-growth reform agenda. However, growth is now projected at 6.6% in Financial Year 2026-27, reflecting headwinds from the Middle East conflict-assuming an extended disruption in global energy (oil and gas) supply till end-2026.
Indias total gas consumption for the Financial Year 2025-2026 was 68,542 MMSCM, which was -4% lower compared to corresponding period of previous year.
Figure 6: Indias Natural Gas Consumption
(Source: PPAC data)
While domestic gas production was seen marginally down by 4% vis-a-vis previous year, LNG imports saw substantial drop (y-o-y) in summer months. Compared to previous year, elevated international prices reduced buyers interest in LNG markets in summer 2025, which was balanced out to a large extent by increased buying in winter months of December, 2025 & January, 2026.
During the Financial Year 2025-26, consumption of Natural Gas (189 MMSCMD) was driven by fertilizer (29%) followed by CGD (23%), Power (12%), Refinery (8%), Petrochemicals (6%). Miscellaneous sectors occupied a share of 22%. Fertilizer sector occupied the highest share for the Consumption of Natural Gas at 29%. The CGD sector share has increased from 21% to 23%.
The 2026 Middle East conflict has impacted Indias energy supply chain adversely. In response, Government of India took policy initiatives in the form of Natural Gas (Supply Regulation) Order, 2026 and Liquefied Petroleum Gas (Regulation of Supply and Distribution) Amendment Order, 2026.
Through the said dual policy response, the Government of India redirected domestic refinery output to prioritize household consumers and established a four-tier priority system for gas allocation while at the same time encouraging quicker replacement of LPG with PNG for household usage. City Gas Distribution Entities including your Company are playing crucial role in implementation of said policy level shifts by undertaking PNG Penetration Drive.
During the Financial Year 2025-26, crude oil prices kept varying showing slight variations and had seen low of $62.20 per barrel in December 2025 and sharp increase to $113.49 per barrel in March, 2026 due to the 2026 Middle East conflict, an increase of almost 68% with >$45 per barrel upward movement for Indian basket. By the end of Financial Year the prices had shot up to $113.49 with year average of $70.99 per barrel.
Figure 7: Indian Crude Basket
(Source: PPAC Data)
Indias gas consumption has significantly undergone a change in the past decade. Impressive growth of CGD networks spread across India has led to CGDs share rising from ~15% of total consumption in FY 2016-17 to ~23% in Financial Year 2025-26.
In terms of volumes, CGD consumption has doubled from ~20 MMSCMD to over 45 MMSCMD in the said period. Even Fertilizer and sectors such as Industrial Manufacturing, Sponge Iron/Steel and other miscellaneous demand centers have contributed to growth in Indias gas demand.
A steady share of Refinery and Petrochemicals have provided a strong base.
Figure 8: Sectoral gas consumption in India (FY17 v/s FY26)
Figure 9: Indias gas consumption since FY 2015-16
(Source: PPAC data)
Speaking at India Energy Week Conference in January, 2026, Minister of Petroleum and Natural Gas Shri Hardeep Singh Puri stated that the Country is today the third-largest energy consumer, fourth-largest refiner and among the top exporter of petroleum products. Indias focus and commitment on availability, affordability and sustainability of energy, even amid global uncertainty has been corroborated in recent times.
As of early 2026, Natural Gas accounted for approximately 6-7% of Indias primary energy supply. The Government aims to increase this share to 15% by 2030. This is part of a broader plan to transition to a cleaner energy system and reduce reliance on polluting fossil fuels. The Government is pursuing several initiatives to boost Natural Gas consumption, including expanding the National Gas Grid, expanding the City Gas Distribution (CGD) network, setting up Liquefied Natural Gas (LNG) terminals, promoting Compressed Natural Gas (CNG) and Piped Natural Gas (PNG).
The Government has also set the target to achieve net-zero emissions by 2070. India also aims to raise its non-fossil energy capacity to 500 GW by 2030 while meeting 50 per cent of its energy demand through renewables. India has also committed to reducing 1 billion tonnes of projected emissions from now till 2030 and achieving carbon intensity reduction of 45 per cent over 2005 levels by 2030.
The Government of India is aggressively pursuing a Gas-Based Economy with the goal of increasing the share of Natural Gas in its primary energy mix from about 6-7% to 15% by 2030. This strategy aims to reduce carbon emissions, lower fuel costs, and reduce reliance on expensive imported fuels.
Various reports by leading bodies like PNGRB, IEA, S&P and also companies like Shell have estimated Indias gas demand to be in the range of 260-379 MMSCMD by the year 2030.
Figure 10: Snapshot of Indias Demand and Supply Scenario
| Source | Domestic supply | RLNG | Demand |
| NGG (BAU) | 180 | 116 | 296 |
| NGG (ACS) | 193 | 186 | 379 |
| S&P | 115 | 151 | 266 |
| SEIPL | 115 | 145 | 260 |
| IEA | 99 | 183 | 282 |
| GTG case-Paper by PNGRB | 97 | 200 | 297 |
(Source: Vision 2040 - Natural Gas Infrastructure in India)
These estimates suggest a healthy CAGR of 8-19% in Indias gas demand by 2030 and reflect Indias commitment & policy measures to transit towards cleaner energy sources. Additional policy measures could push gas demand in India through greater gas use in Power Generation, City Gas Distribution, and LNG for transport.
Indias Natural Gas consumption is forecast to increase by nearly 60% by 2030, driven by robust growth in City Gas Distribution, industrial demand and Power Generation. Targeted strategies and policy interventions could boost gas consumption beyond the forecasted trajectory to around 120 BCM/yr by 2030, close to the current gas consumption of the entire continent of South America.
Indias LNG imports are set to more than double between 2023 and 2030, driven by steady demand growth and a much slower rise in domestic production. Between 2013 and 2023, Indias LNG imports increased by 70% and reached 36 BCM in 2024, matching the previous record set in 2020 and cementing the Countrys position as the fourth-largest LNG importer globally. Looking ahead, Indias LNG demand is projected to grow steadily, reaching 64 BCM/yr by 2030. This represents an annual average growth rate of 11% for the 2023-2030 period, twice the average rate observed in the previous ten years.
Your Company believes that the recent Middle East crisis has shifted the focus on energy security and the role of demand aggregators, like your Company, becomes crucial in such times. Your Company will continue to scout for opportunities to source LNG from newer markets and also market gas to newer segments, thereby reducing countrys reliance on other imported & less environment friendly fossil fuels.
In the given geo-political situation, the recently concluded merger of erstwhile Gujarat State Petroleum Corporation Limited into the Company has actually proved to be a boon for the Companys gas sourcing initiatives since the merger has given the Company direct access to GSPCs expertly curated gas sourcing portfolio together with services of experienced manpower in the gas sourcing segment. The merger also enables the Company to price its gas more competitively than earlier (in a ceteris paribus situation) thereby strengthening its Gas Trading as well as CGD Industrial Sales segments.
With the Governments push to make India a Global Refining and Energy Hub, your Company is working towards targeting volumes from this sector. Your Company is also exploring possibility of marketing volumes to newer segments, including LNG as automotive fuel and Tri-generation demand. In fact, your Company is also persistent in its effort to optimize its sourcing portfolio and has been in discussions with several suppliers to bring in competitive volumes at flexible terms from diversified sources and different linkages / indices.
In Financial Year 2025-26, Indias Natural Gas production experienced a mixed trend, with data indicating a 6.4% growth in output as of H1 Financial Year 2025-26 (April-September 2025) but a cumulative decline of 2.8% for the full year ending March, 2026, driven by declining output in legacy fields and supply vulnerabilities. While new fields aimed to boost supply, domestic production remained challenged by natural depletion and low exploration.
City Gas Distribution entities in India faced a complex set of challenges in Financial Year 25-26, driven primarily by a tightening supply of cheaper domestic gas coupled with reduced APM gas allocation, increased reliance on expensive imported Liquefied Natural Gas (LNG), and high capital expenditure (capex) requirements for infrastructure expansion. The Company also faces challenges in the form of stiff competition from other fuels due to accessibility and availability. The fuel also faces risk in the form of disparity in the tax structure compared to alternate fuels as PNG and CNG (T) are still out of GST ambit.
Inter-fuel competition is particularly strong in India, with Natural Gas vying against coal, oil, propane and renewables in several gas-consuming sectors. This means that even small changes in global gas prices can significantly impact domestic consumption patterns. This price sensitivity underscores the need for competitive pricing to enable Natural Gas adoption.
In the given geopolitical scenario, your Company perceives price sensitivity of LNG as a major challenge which creates hindrance to increased penetration of gas. Your Company is working on strategies to ensure that it is able to navigate this complex market landscape by leveraging its assets and diversifying its portfolio to continue to offer commercially sound solutions for gas sales, including innovative pricing structures.
Another leading challenge faced in todays gas markets in India, is increasing competition with the presence of multiple gas marketers. Your Company believes that by engaging with its customer base and offering additional value-added services including supply reliability and flexibilities along with focusing on securing long-term contracts, it shall be in a position to overcome these threats.
Your Company achieved total sales volume of 13.63 MMSCMD during the Financial Year of which 8.69 MMSCMD was CGD volume and 4.94 MMSCMD was gas trading volume (net of inter-segment supply volume).
Higher international gas prices and stiff competition from alternate fuels coupled with Middle East crises in the last Quarter, led to an impact on trading volumes. However, your Companys diversified sales portfolio backed with competitive mix of Long term and Spot volumes from domestic and international markets, assured healthy trading margins.
During the year, your Company successfully sourced and supplied gas to a gamut of industries while also ensuring supplies for the Companys own CGD Segment. Of the 4.94 MMSCMD trading volume, Fertilizers segment accounted for 55% of the trading volumes.
FIGURE-11: SECTORAL BREAK UP-SALES (Gas Trading Segment)
| Segment | Percentage |
| CGD | 15% |
| FERTILIZER | 55% |
| POWER | 8% |
| REFINERY & PETROCHEMICALS | 2% |
| INDUSTRIAL & OTHERS | 20% |
In spite of huge volatility in gas prices, your Company was successful in sourcing competitive volumes to supply gas to power plants, as well. Though gas marketed to Refinery & Petrochemicals was around 1% of total sales, your Company is confident of increasing its footprints in this segment and is in discussions with various players to tie up volumes on short term to mid-term basis.
During the year, your Company sourced volumes from various sources, domestic and international. While gas from domestic sources accounted for almost 37% of total sales remaining demand was met through imports from international markets on long term as well as spot basis. Your Company sourced ~1.8 MTPA of gas from international markets which is about 7% of total volumes imported by India during Financial Year 2025-26.
Your Company has been successful in procuring gas from domestic tenders and even managed to source competitive imported spot volumes from its empaneled suppliers through competitive bidding processes. Your Companys ability to optimize its sourcing portfolio with a mix of domestic and imported volumes is duly supported by long term regasification capacity access, which it has secured at some of the leading Regassification terminals in India.
Your Company as on date has total 27 CGD licenses and operates in 44 Districts across 6 States and one Union territory.
Your Company has an expanse of around 1,75,700 Square Kilometers of licensed area under its umbrella and continues to hold the position among the largest CGD Company in Country. Your Company supplies Natural Gas to more than 24.18 lakh residential consumers, over 16,000 commercial customer and has erected/commissioned 839 CNG stations for vehicular consumers and provides clean energy solutions to over 4,460 industrial units through its wide spread operations with more than 45,250 Kilometers of Natural Gas pipeline network.
Figure 12: Share in Indian Gas Market
(Source: Petroleum Planning and Analysis Cell (PPAC) Snapshot of Indias Oil & Gas Data- March, 2026)
During the year, your Company has achieved a growth of 11.8%, 8.4% and 7.1% in CNG (T), PNG (Domestic) and PNG (Commercial) sales respectively compared to previous year. Your Company has continued its focused efforts for developing and growing PNG and CNG (T) business. Your Company has connected more than 1,51,500 PNG (Domestic) customers and commercialized 14 new CNG (T) stations during the year.
Your Company is also pleased to inform that the Petroleum and Natural Gas Regulatory Board (PNGRB) during their 19th Foundation Day ceremony has awarded your Company with the PNGRB Excellence Award 2025 under the following categories:
Overall Best Performance in CGD (Category Round 1 to 8) for the Geographical Area of Anand District (Excluding Area Already Authorized) Safety, Integrity & Technical Excellence in CGD (Category Round 1 to 8) for the Geographical Area of Ahmedabad District (Excluding Area Already Authorized)
Your Company is also amongst the first CGD companies to offtake Compress Bio Gas (CBG) into its NG pipeline network. Your Company commissioned Indias first ever CBG off-take facility via Steel pipeline at Batala, Gurdaspur. Your Company is off-taking Bio-gas/CBG currently at 9 locations across authorized areas.
In the wake of Middle East Crisis leading to supply crunch of particularly LPG in India, the Government of India took policy measures to boost PNG connections for domestic usage. In fact, the Government of Gujarat has laid out vision for making Gujarat LPG Free Zone by substituting PNG for domestic usage.
Your Company has immediately responded to the call of Government of India and Government of Gujarat by actively participating in the PNG Penetration Drive. Your Company took various initiatives such as:
(a) aggressive marketing campaign in print media and digital platforms to promote DPNG connections.
(b) appointment of Direct Marketing Agencies (DMA) to expedite customer registration process.
(c) mobilizing additional contractors to execute new connections and to reduce turnaround time and by introducing incentive schemes for the PNG contractors in addition to immediate payment terms.
(d) prioritized outreach to essential category customers such as hospitals, hotels, community kitchens, industrial canteens, schools, and colleges by providing PNG connections within 7-15 days through a fast-track process.
Your Companys efforts have led to following visible results:
(a) during March to May, 2026, connected 110 customers in the essential category segment.
(b) between March and May, 2026, 86 residential societies in Gujarat, comprising approx. 13000 households, achieved 100% PNG connectivity and became LPG-free societies. As of May, 2026, a total of 2,835 residential societies in Gujarat, comprising approx. 4.86 Lakh households, achieved 100% PNG connectivity and become LPG-free societies.
(c) commissioning of new commercial units (including the essential category) increased from 152 in March, 2026 to 527 by the last week of May, 2026.
(d) Companys successful supply strategy has provided significant support to the Morbi ceramic industry. The number of units off taking gas increased from 83 units (with gas consumption of 0.36 MMSCMD) in March, 2026 to 700+ units (with gas consumption reaching 8.3 MMSCMD) in June, 2026.
Oil and Gas production volumes, which depend on the yield from the Companys producing fields, have impact on the Companys results of operations. Currently, all of our producing fields are within the Cambay basin.
Currently 5 operated PSCs are producing approximately 559 barrels of oil/day (of which Companys share is 280 barrels of oil per day) and 11,172 SCMD of gas (of which Companys share is 6,800 SCMD). Of the non-operated assets, 5 PSCs are producing approximately 140 barrels of oil/day (of which Companys share is 110 barrels of oil per day) and 132,000 SCMD of gas (of which Companys share is 23,000 SCMD). Combined gas sales volume across operated and non-operated PSCs is approximately 75,000 SCMD (of which Companys share is 29,800 SCMD).
As volume of production from oil and gas fields generally declines as reserves are depleted with ongoing production, your Company has taken proactive steps to arrest this decline and increase production from the active PSCs. Your Company has drilled 2 wells in Financial Year 2025-26 in one of its operated PSCs to increase production, which are currently under testing. Your Company has also planned for drilling of 4 new wells in its operated PSCs in Financial Year 2026-27, while it is in various stages of preparation, submission and seeking approval from Ministry of Petroleum & Natural Gas and Directorate General of Hydrocarbons for revised Field Development Plans for 7 of its operated PSCs.
Your Companys future production growth will depend upon success in developing its existing reserves in a timely and cost-effective manner. For this to happen, your Company plans to drill 18 new wells in the next 4-5 years in its operated blocks and apply suitable Enhanced Oil Recovery (EOR) techniques to achieve enhanced production. While there will be capital requirements in a short span, the resulting increase in cashflow will commensurate the same.
Your Company being committed to promote clean and green energy has also set up alternate sources of power generation. The Company has set up a 123.9 MW wind farms in Gujarat.
During the year, your Company has generated 16,25,02,903 KWH of electricity through Windmill and achieved a PLF of 14.94%.
Your Companys presence in the Countrys largest and most developed gas market, Gujarat, gives your Company the edge to market gas across a gamut of industries spread across the State. Your Company is known to be a reliable supplier to bulk users such as power, fertilizer and large industries as well as a large base of retail customers through its City Gas Distribution (CGD) networks. Economical and uninterruptible gas supply has been your Companys forte in its gas trading activities and accordingly, your Company shall continue to focus on its strengths in diversifying its sourcing portfolio and catering to the needs of various industries.
India is the third largest energy consumer in the world. With the demands of the growing Indian population, use of cleaner and greener energy sources has become the need of the hour. The future outlook for Natural Gas in India depends on the growth in demand, the evolution of the pricing regime and the pace of gas infrastructure expansion. The demand will steadily rise with adoption of Natural Gas in new emerging Geographical Areas. Your Company is also actively involved in accelerating the adoption of Piped Natural Gas (PNG) and Compressed Natural Gas (CNG) through participation in PNG Drive 2.0, a nationwide campaign launched by Petroleum and Natural Regulatory Board (PNGRB) from 1 January, 2026 to 30 June, 2026.
Your Company is committed to reach every possible Natural Gas user across its licensed expanse of around 1,75,700 Square Kilometers through its ever growing pipeline network spread across 44 Districts in 6 States and one UT. Your Company shall continue to focus on growing the penetration in the current operating areas by increasing the PNG connections and additional CNG stations while tapping the untapped potential by expeditious rollout of distribution network in its operating Areas. With this focused endeavor, your Company shall continue its efforts in providing clean fuel solutions across all operational area to augment an energetic top-line and bottom-line in coming years.
The Company has initiated the Business Development Strategy initiative with the primary objective of setting up GEL for steady growth over the next decade. The initiative aims to accelerate core business growth (e.g., CNG, PNG, Transmission, Gas Trading), define expansion opportunities in adjacencies and emerging energy segments, and create a future-ready portfolio.
Additionally, the initiative seeks to establish a clear vision and mission for the new organization, strengthen organizational capabilities in the post-merger context, and build a structured implementation engine to translate strategy into measurable outcomes.
Objective here is to define the vision, mission, and culture of the new organizations (post-merger), ensuring that multiple legacy entities coming together operate under a single, unifying strategic intent. Beyond articulating ambition, this workstream will establish a shared purpose and set of cultural values that foster collaboration, mutual trust, and collective accountability across previously distinct organizations.
Objective here is to develop a detailed, long-term growth strategy for GELs prioritized core businesses, e.g., CNG, PNG (D-PNG, C&I). This includes building a robust long term view of volumes, revenues, and EBITDA, supported by bottom-up market forecasting and a clear articulation of the full potential of each business segment. The engagement will identify demand-side adoption challenges across customer segments, e.g., industrial, commercial, residential, and transport, and define targeted interventions to unlock growth.
The objective here is to identify and define the strategy for expansion into new businesses, with a particular focus on LNG retail and other adjacent and emerging energy segments. This will involve segment-level market sizing and growth projections to identify clear where to play choices, followed by the development of a comprehensive market entry strategy covering pricing, product design, sales channels, partnerships, and organizational setup.
The initiative will also review a set of critical merger-linked decisions such as IT integration, strategy for capital allocation, and review the impact of non-optimized business portfolios.
As per EIA Short-Term Energy Outlook (STEO) April, 2026 Report, the Brent crude oil spot price averaged $103 per barrel (b) in March and is expected to peak in the second quarter of 2026 (Q26) at $115/b before easing as production shut-ins slowly abate. It is also forecasted that the Brent crude oil price will fall below $90/b in 4Q26 and average $76/b in 2027 and is highly dependent on the assumptions of both the duration of conflict in the Middle East and resulting outages in oil production.
Global oil markets are in a period of heightened volatility and uncertainty due to the de facto closure of the Strait of Hormuz, a major world oil transit chokepoint through which nearly 20% of global oil supply flows. The strait has been effectively closed to shipping traffic since military action began on February, 2026.
The Brent crude oil spot price averaged $103 per barrel (b) in March, $32/bbl higher than the average in February, and daily Brent crude oil prices reached almost $128/bbl on 2 April, 2026. The closure of the Strait has dramatically reduced the availability of oil supplies to global markets and has had cascading effects across oil supply chains. The reduction in flows of Liquefied Natural Gas (LNG) exports through the Strait of Hormuz have reduced global LNG supply and sharply increased the spread between the U.S. benchmark Henry Hub spot price and European and Asian import prices.
| 2025 Q1 | 2025 Q2 | 2025 Q3 | 2025 Q4 | 2026 Q1 | 2026 Q2 | 2026 Q3 | 2026 Q4 | 2027 Q1 | 2027 Q2 | 2027 Q3 | 2027 Q4 | Avg. for the Year 2025 | Avg. for the Year 2026 | Avg. for the Year 2027 | |
| Brent Spot Average (dollars per barrel) | 75.83 | 68.01 | 69.00 | 63.63 | 81.11 | 114.60 | 99.80 | 88.00 | 81.90 | 78.00 | 75.02 | 69.94 | 69.04 | 96.00 | 76.09 |
(Source: U.S. Energy Information Administration Short-Term Energy Outlook - April 2026)
Even in times of such global energy crises, India has been able to demonstrate strong preparedness to navigate sustained geopolitical volatility. As highlighted by Honble Minister for Petroleum and Natural Gas, Shri Hardeep Singh Puri at the India Energy Week (IEW) 2026, India will continue to occupy centre stage in international energy discourse. Operating in the gas industry, one of the biggest risks faced is the adverse movement of gas price/LNG prices. Such risk is mitigated through signing of back to back sales contracts and reduction of exposure to high priced gas through contractual volume flexibilities. In the given geopolitical scenario, the risk of disruption in LNG supplies is also amplified and mitigation of the same through constant engagement with other international suppliers to avoid any major supply cuts to downstream customers has been your Companys strategy for many years.
The Company has a proper and adequate system of Internal Controls commensurate with its size of operations and nature of business. The Companys Internal Control Systems are further supplemented by extensive programs of audits, i.e. Internal Audit, Proprietary Audit by the Comptroller & Auditor General of India (C&AG) and Statutory Audit by Statutory Auditors appointed by the C&AG. The Internal Control System is designed to ensure that all financial and other records are reliable for preparing Financial Statements and other data and for maintaining accountability of assets and compliance with statutory requirements. The Company has mapped a number of business processes on to SAP system, thereby leading to significantly improved controls & transparency. Your Company also continues to invest in Information Technology to support various business processes and automating controls.
The standalone net Profit After Tax (Total comprehensive income) for the current Financial Year 2025-26 decreased to ?2,282.27 Crores from ?4,183.06 Crores in the previous year. The Company had a healthy net cash inflow from operations of ?2,407.44 Crores during the Financial Year 2025-26. There is no outstanding loan as on 31st March, 2026.
Investments were made in extension of pipeline network to reach new areas and in reinforcements and upgradation of existing network as required. Investments were also made to connect residential customers and augmenting the CNG infrastructure. Investments were also made to upgrade the IT infrastructure and integrate SAP to enhance reliability and enable scalability. No amount has been transferred to the General Reserve during the year.
Details of significant changes (i.e. change of 25% or more as compared to the immediately previous Financial Year) in key financial ratios, along with detailed explanations therefore, including:
| Particulars | FY 2025-2026 | FY 2024-2025 | Reason for significant changes |
| Debtors Turnover | 11.17 | 12.04 | NA |
| Inventory turnover | 27.30 | 45.60 | Mainly due to impact of demerger of gas transmission business undertaking pursuant to Scheme |
| Interest Coverage Ratio | - | - | NA |
| Current Ratio | 3.34 | 3.01 | NA |
| Debt Equity | - | - | NA |
| Operating Profit Margin (%) | 13.02% | 11.10% | NA |
| Net Profit Margin (%) | 9.50% | 12.56% | NA |
| Return on Net Worth | 9.90% | 17.82% | Mainly due to demerger of Gas transmission business undertaking in current year and recognition of deferred tax income in previous year |
Previous years ratios have been reclassified wherever necessary to confirm to the current periods presentation.
Your Company is dedicated to enhancing the capabilities and competencies of its employees. We believe that continuous training and development are essential for creating an environment where individuals can fully leverage their technical skills and innate potential, contributing to the Companys ability to capitalize on emerging business opportunities. Throughout the year, employees participated in various training programs and seminars to expand their knowledge and skill sets. Additionally, they utilized an online training platform to further enhance their knowledge.
The Company is also committed to automating all its policies and processes to improve efficiency. To encourage and reward employee performance, Company has in place a policy of performance linked incentive.
There was no strike or lock-out during the year under review.
Your Company employed 1049 employees as on 31st March, 2026.
All the statements that address expectations or projections about the future, including but not limited to statements about the Companys strategy for growth, product development, market position, expectations and financial results are forward looking statements. Since these are based on certain assumptions and expectations of future event, the Company cannot guarantee that these assumptions and expectations are accurate or will be realized. The Companys actual results performance or achievements could thus differ from those projected in any forward looking statements. The Company assumes no responsibility to publicly amend modify or revise any such statements on the basis of subsequent developments, information or events.
IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000
IIFL Capital Services Support WhatsApp Number
+91 9892691696
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