Qatar warns Iran war could halt Gulf energy exports within weeks'
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Qatar warns Iran war could halt Gulf energy exports within weeks'
"If the war continues for weeks, GDP growth around the world will be impacted. Everybody's energy price is going to go higher. There will be shortages of some products and there will be a chain reaction of factories that cannot supply."
"Qatar's LNG production is equivalent to about 20 percent of global supply and plays a key role in balancing Asian and European markets' demand for the product. All exporters in the Gulf region will have to call force majeure."
"Even if the war ended immediately, it would take Qatar weeks to months to return to a normal cycle of deliveries. Tanker traffic through the Strait of Hormuz has dropped dramatically due to the war, forcing all producers in the Gulf who rely on that export route to shut in production."
Qatar's energy minister warns that escalating conflict with Iran could halt Gulf region energy exports within weeks, causing severe global economic consequences. Qatar halted LNG production after Iranian missile attacks, disrupting approximately 20% of global supply. Energy prices will rise globally, product shortages will occur, and supply chain disruptions will cascade through manufacturing sectors. All Gulf exporters are expected to invoke force majeure provisions within days. Even if conflict ends immediately, Qatar requires weeks to months to restore normal delivery cycles. Tanker traffic through the Strait of Hormuz has dropped dramatically, forcing Gulf producers to shut down production operations.
Read at www.aljazeera.com
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