Qatar LNG Exports Plummet 96% Amid U.S.-Iran War
The Government of Qatar lost $24 billion in gas sales as war between the U.S. and Iran closed the Strait of Hormuz and damaged production facilities.
Six months into a war between the United States and Iran, the Government of Qatar has seen its liquefied natural gas (LNG) exports plummet by 96%. Data from ICIS shows Qatar exported only 18 LNG cargoes compared to 509 during the same period last year, resulting in an estimated $24 billion loss in gas sales.
The conflict has effectively closed the Strait of Hormuz, trapping approximately 20% of daily global LNG flows. While other Gulf nations, including Saudi Arabia, the United Arab Emirates, Iraq, and Kuwait, have maintained some oil exports through discreet shipments, Qatar's supply chain has collapsed. Two Qatari tankers were attacked during the conflict, and Iranian drone and missile strikes damaged the Ras Laffan LNG complex, the world's largest production facility.
QatarEnergy expects the damage to Ras Laffan to cost $20 billion in annual revenue and take five years to repair. Consequently, the state-owned producer has declared force majeure on several long-term contracts. While increased exports from the United States have partially offset the deficit, European gas storage has dropped to a historic low for the season, leaving the region vulnerable to price spikes and shortages ahead of winter.
