Gas
Gulf conflict continues to restrict Qatari LNG exports
Qatari liquefied natural gas shipments remain heavily constrained as the conflict involving Iran and the United States disrupts vital Gulf supply routes.
Key points
- Qatari liquefied natural gas exports remain constrained due to the ongoing conflict affecting the Strait of Hormuz.
- Missile attacks and safety concerns have severely impacted production and storage logistics at Ras Laffan.
- Global gas markets face extended strain as Asian and European importers cope with severely reduced shipments.
What happened
The ongoing conflict involving the United States, Israel, and Iran continues to restrict liquefied natural gas shipments from Qatar, even as regional oil exports show signs of recovery, according to The Jakarta Post. Qatar, which supplies a significant share of global capacity, was forced to shut down major portions of its primary export complex at Ras Laffan following the closure of the Strait of Hormuz.
Data analytics firm Kpler indicated that Qatari shipments dropped significantly compared to pre-war averages. While regional crude shipments through the waterway rebounded to roughly 80 percent of pre-conflict levels with the assistance of the US Navy, LNG transport faces distinct structural hurdles. Attacks on shipping in the area have risen, and October export volumes are projected to decline further.
Why it matters
The disruption has placed severe strain on international gas markets, heavily impacting importing nations in Europe and Asia that possess few alternatives for replacing Gulf supplies. Prices in those regions reached multi-year highs in late September. Analysts note that unlike flexible crude oil networks, LNG supply chains are highly integrated and capital intensive. Restarting idled production trains requires steady offtake of associated condensate and reliable maritime transit, conditions that remain absent without guaranteed security in the Strait of Hormuz.
What comes next
QatarEnergy has maintained force majeure notices for numerous customers while export infrastructure awaits durable security agreements. Although the country is pursuing an expansion program intended to elevate production capacity by 2030, market observers suggest a swift recovery for global LNG supply remains unlikely until safe and predictable passage through the Gulf is restored.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Gas is the flexible backbone of many grids and the designated transition fuel in many national plans, from LNG trade to domestic LPG and CNG. Supply security and pricing drive both power reliability and emissions.
79.2% of electricity in Iran came from gas in 2024Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
