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Rystad Puts Middle East Energy Repair Bill at Up to $58 Billion

Supply bottlenecks threaten long delays with higher costs worldwide.

Overview

  • Rystad Energy, in an analysis published Wednesday, estimated the war-linked repair bill for energy infrastructure could reach $58 billion.
  • The firm outlined a $34 billion to $58 billion range with a midpoint near $46 billion, with oil and gas assets possibly taking up to $50 billion and downstream plants likely bearing the largest share.
  • Iran faces the widest spread of damage across gas processing, refining, and export sites, with potential repair costs near $19 billion.
  • Qatar’s Ras Laffan liquefied natural gas hub lost two production trains that handle about 17% of its exports, and QatarEnergy projected $20 billion in lost revenue with repairs that could take up to five years.
  • The International Energy Agency counted more than 80 energy facilities struck since February 28, with over a third severely damaged, underscoring multi-year recovery risks.