The Iran strikes on its Gulf neighbors have disrupted about 17 percent of Qatar’s liquefied natural gas (LNG) export capacity. It led to an estimated $20 billion in lost annual revenue, according to Saad al-Kaabi, CEO of Qatar Energy and state minister for energy affairs.
Iran War Disrupts Qatar LNG Supply for 5 Years
Al-Kaabi noted that repairs affect 12.8 million tonnes per year of LNG for 3 to 5 years, putting supplies to European and Asian nations, including China and India, at risk. At least two of Qatar’s 14 LNG trains and one of its two gas-to-liquids (GTL) facilities damaged in the unprecedented Iranian strikes over the past few days.
“I never in my wildest dreams thought that Qatar would be, and the region would be, in such an attack, especially from a brotherly Muslim country in the month of Ramadan, attacking us in this way,” al-Kaabi told news agency.
Attack on World’s Largest LNG Plant
Iran launched a series of attacks on Gulf oil and gas facilities following Israeli strikes on its own gas infrastructure. On Wednesday, the situation worsened after an Iranian missile attack on Ras Laffan, Qatar’s largest LNG plant. As a result, Qatar Energy had to declare force majeure on its entire LNG output.
“For production to restart, first we need hostilities to cease,” al-Kaabi told. He said that the damage from the attacks has set the region back 10 to 20 years. “And of course, this is a safe haven for a lot of people to have a safe place to stay and so on. And that image, I think, has been shaken.”
According to the minister, US oil giant Exxon Mobil is a partner in the damaged LNG facilities, while Shell is a partner in the damaged GTL facility, that take up to a year to repair.