QatarEnergy has announced the suspension of several long-term LNG delivery contracts after missile attacks severely damaged its Ras Laffan production complex. The company invoked force majeure on Tuesday, citing circumstances outside its control that prevent it from fulfilling supply agreements with customers.
The disruption follows recent missile and drone assaults by Iran on the Ras Laffan site, which have halted operations at two of Qatar’s 14 LNG trains and a major gas-to-liquids facility. According to CEO Saad al-Kaabi, these attacks have taken 17% of the country’s LNG export capability offline, reducing annual output by 12.8 million tonnes and creating an expected annual revenue shortfall of $20 billion.
These developments come amid heightened conflict in the region, specifically the ongoing U.S.-Israeli war with Iran. Iran’s response has included restricting passage through the Strait of Hormuz, a key route for global oil and LNG shipments, which has pushed international energy prices higher. In addition to Qatar, both Kuwait and Bahrain have invoked force majeure as energy infrastructure faces targeted attacks.
Al-Kaabi has indicated that restoring full production at the damaged facilities may take between three and five years. Ongoing repairs and prolonged interruptions are likely to impact energy supplies to both Europe and Asia, regions that depend heavily on Qatari LNG.
