Iranian attacks have disabled 17% of Qatar's liquefied natural gas (LNG) export capacity, causing estimated annual losses of $20 billion and jeopardizing supplies to Europe and Asia. This was reported on Thursday by Reuters, citing QatarEnergy CEO Saad al-Kaabi, writes UNN.
Saad al-Kaabi stated that the unprecedented strikes damaged two of Qatar's 14 LNG trains and one of its two gas-to-liquids (GTL) plants. According to him, repairs will take 12.8 million tons of LNG per year out of operation for a period of three to five years.
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I could not have imagined, even in my wildest dreams, that Qatar - Qatar and the entire region - would suffer such an attack, especially from a brotherly Muslim country during the month of Ramadan, attacking us in this way.
Hours earlier, Iran launched a series of strikes on oil and gas facilities in Gulf countries following Israeli attacks on its own gas infrastructure.
The state-owned company QatarEnergy may be forced to declare force majeure on long-term LNG supply contracts to Italy, Belgium, South Korea, and China for up to five years due to damage to two facilities, Kaabi noted.
These are long-term contracts for which we will have to declare force majeure. We have already declared it, but then it was for a shorter period. Now - for the entire necessary period.
Impact on ExxonMobil and by-products
American oil giant ExxonMobil is a partner in the damaged LNG projects.
The Texas-based company owns a 34% stake in LNG train S4 and 30% in train S6, Kaabi noted.
The consequences extend far beyond LNG. Condensate exports from Qatar will decrease by approximately 24%, while liquefied petroleum gas (LPG) will decrease by 13%. Helium production will decrease by 14%, and oil (crude oil) and sulfur by 6%.
The damaged facilities cost approximately $26 billion, Kaabi said.
Earlier, QatarEnergy had already declared force majeure on its entire LNG production volume after previous attacks on the Ras Laffan production hub.
"To resume production, a cessation of hostilities is primarily necessary," he concluded.
Oil prices soared after Iranian missile strikes on Qatar's main energy hub19.03.26, 09:00