QatarEnergy Extends LNG Force Majeure as Hormuz Disruption Threatens Winter Supply

  • QatarEnergy extended force majeure on LNG deliveries for another month amid continued uncertainty over Strait of Hormuz shipping.
  • BNY said the strait carries about 20-25% of global LNG trade, while Qatar’s damaged capacity totals approximately 12.8 million tons a year.
  • European storage is around 63% full, the lowest seasonal level since 2009, and BNY said a full disruption is not the base case.

QatarEnergy has extended force majeure on liquefied natural gas deliveries for another month amid continued Strait of Hormuz uncertainty, compounding Europe’s struggle to refill storage before winter and raising the prospect of gas prices above €100 per megawatt-hour for the first time since 2019. Iranian missile damage to the Ras Laffan complex in early March removed about 12.8 million tons a year of capacity, or 17% of Qatar’s output, while BNY estimates the strait carries roughly 20-25% of global LNG trade. European storage is around 63% full, the lowest seasonal level since 2009, pointing to intense competition with Asia for limited cargoes and sustained price pressure. Market participants are also weighing fuel switching toward oil if gas shortages deepen; prediction-market odds of crude reaching a new all-time high are 2.1% by September 30 and 11.5% by December 31. Observers are watching European storage progress, EU policy responses, OPEC actions, and broader geopolitical supply risks.

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