Qatar in talks to buy US LNG as Iran war disrupts exports: Report

Qatar is holding talks to purchase liquefied natural gas (LNG) from US suppliers under long-term agreements as the Iran war severely disrupts its ability to serve customers, Bloomberg reported Thursday.

State-owned QatarEnergy is considering supplies from both operating and under-construction US export projects, the report said, citing people familiar with the private negotiations.

The potential agreements would mark the first indication since the war began that Qatar is looking beyond the Middle East to expand its LNG portfolio and secure alternative supplies for its customers.

Qatar previously accounted for around one-fifth of global LNG supplies, but its shipments have almost entirely stopped because of the risks associated with moving gas tankers through the Strait of Hormuz.

QatarEnergy did not respond to Bloomberg’s request for comment.

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Before the conflict erupted in late February, Qatar had been advancing plans to nearly double production from its Ras Laffan LNG export complex by 2030.

However, the facility — described as the world’s largest LNG plant — was damaged in an Iranian strike during the early weeks of the conflict. Full repairs could take between three and five years, according to earlier reports.

With no clear end to the war in sight, the prospect of a prolonged conflict is reportedly pushing Qatar to strengthen its LNG trading activities and find supplies outside the Gulf.

Qatar already has access to some US LNG through its ownership stake in the Golden Pass LNG terminal in Texas. The facility began exports in April and has since been gradually increasing production.

QatarEnergy Trading, the company’s trading arm, has also expanded its capacity to market and ship US-produced LNG, mainly through shorter-term transactions.

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