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Iran Strikes Cripple Qatar’s Ras Laffan, Knocking Out 17% of LNG Capacity for Years

QatarEnergy signals force majeure on long‑term deliveries, pushing major buyers to seek North American cargoes.

Overview

  • QatarEnergy says Iranian missile attacks damaged two of 14 LNG trains and a gas‑to‑liquids unit at Ras Laffan, sidelining about 12.8 million tonnes per year for an estimated three to five years.
  • Long‑term LNG contracts may be suspended for up to five years for buyers in Italy, Belgium, South Korea and China, with CEO Saad al‑Kaabi warning of prolonged supply disruptions.
  • European gas futures jumped as much as 35 percent and crude prices spiked after the outage, reflecting fears of a sustained supply shock.
  • JERA, Japan’s largest LNG buyer, is preparing additional spot purchases and eyeing greater sourcing from the U.S. and Canada, while keeping its 27‑year Qatar deal that is scheduled to start in 2028.
  • The damage also cuts output of condensate, LPG, helium, naphtha and sulphur, and involves assets partly owned by ExxonMobil, with QatarEnergy estimating roughly $20 billion in lost annual revenue.