Overview
- QatarEnergy suspended LNG production at Ras Laffan and declared force majeure after Iranian drone attacks on facilities in Ras Laffan and Mesaieed, according to official statements and multiple reports.
- Insurer warnings over security risks have led many vessels to avoid the Strait of Hormuz, creating a tanker backlog and disrupting normal rotations of loaded and empty LNG carriers.
- European benchmark gas futures spiked by roughly 40–54% on Monday and extended gains on Tuesday, while Asia’s JKM reached a one‑year high.
- Indian buyers reduced gas supplies to industrial customers by about 10–30% and prepared spot tenders to replace Qatari cargoes, as freight, insurance costs and LNG tanker day rates surged, with some quotes above $200,000.
- U.S. producers including Venture Global and Cheniere sought to maximize output and redirect shipments, though analysts caution current capacity cannot quickly replace a prolonged shortfall from Qatar.