Risk of major loss after STO runs out of gas imports

Jan 26, 2026, 5:12 AM
Photo: Adhadhu

Photo: Adhadhu

The state gas company is facing a huge loss after running out of gas imported by the State Trading Organization (STO).

Adhadhu understands that Maldive Gas, run under STO, is out of gas and is currently purchasing gas from Villa Gas to fulfil orders.

"They have purchased 8,000 cylinders in the last five days at a rate of USD 12.97," a person said on condition of anonymity.

The retail price of a Maldive Gas cylinder is MVR 200, including operational costs. But the company is currently purchasing gas from Villa Gas for MVR 199.

This means the company's operational expenses will have to be covered through other means for this period.

Sources told Adhadhu that there is little hope of getting gas before the upcoming fasting month of Ramadan. But a shipment is expected to arrive on February 15.

"A shipment is scheduled to arrive on the 15th of next month. But they will still place an order from Villa for 15,000 cylinders in different sizes today," he said.

STO could not be reached for comment.

Maldive Gas was stripped of all gas purchasing powers on April 13, 2025, following the loss of USD 250,000 (MVR 3.85 million in advance for a gas shipment.

The advance was paid for a shipment of liquefied petroleum gas (LPG) in October 2024, parliament Deputy Speaker Ahmed Nazim revealed.

Maldive Gas is a joint venture between STO and Champa Gas and Oil Company. Maldive Gas is the largest importer of gas in the country.

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