Gujarat Narmada Valley Fertilizers & Chemicals Ltd

• Middle East conflict affects LNG supply chain. • Supplier GAIL received Force Majeure from Petronet LNG. • GNFC's RLNG supply restricted to 60% from Mar 6, 2026. • Neem Urea production impacted; other products unaffected.

⚠️ Supply Disruption Impacts Fertilizer Production

📌 Background on LNG Supply Chain:

• GNFC uses Re-gasified Liquefied Natural Gas (RLNG) supplied by GAIL.
• GAIL sources RLNG from Petronet LNG Limited (PLL), its upstream supplier.

⚠️ Impact of Middle East Conflict:

• The ongoing war in the Middle East has caused transit constraints affecting LNG supply.
• Petronet LNG issued a Force Majeure notice citing supply issues.
• GAIL issued a Force Majeure notice to GNFC due to limited incoming RLNG.

📉 Specific Supply Constraint to GNFC:

• RLNG supply to GNFC has been restricted to 60% of the Daily Contracted Quantity starting March 6, 2026.

🧪 Production Impact:

• The RLNG supply cut impacts Neem Urea production at GNFC.
• Other product manufacturing remains unaffected as of now.

🔍 Current Uncertainties:

• The Force Majeure event is ongoing; full impact on production can’t be estimated currently.

📊 Quantitative Data:

• RLNG allocation is limited to 60%, implying a 40% reduction in essential supply.

🔄 Company Response:

• GNFC is closely monitoring the situation and will keep investors informed.

🤔 Perception:

• This highlights potential supply chain risks linked to geopolitical issues affecting GNFC's raw materials.
• Reduced RLNG supply and impact on Neem Urea may concern stakeholders until more clarity emerges.