Qatar’s energy sector has suffered an unprecedented blow following attacks on key infrastructure, with the country’s liquefied natural gas (LNG) output expected to remain partially offline for the next three to five years. According to Saad al-Kaabi, Qatar’s Minister of State for Energy Affairs and CEO of QatarEnergy, the strikes have already wiped out an estimated $20 billion in annual revenue and disrupted about 17% of the nation’s LNG export capacity.
The damage, described as “unprecedented” by al-Kaabi, comes as Israel targeted Iran’s South Pars gas field, the world’s largest natural gas reserve, escalating tensions across the Gulf region. Qatar’s energy hubs, including two of 14 LNG trains and one of two gas-to-liquids (GTL) facilities, were significantly impacted, forcing the company to declare force majeure on long-term contracts with international buyers.
Al-Kaabi told Reuters: “I never in my wildest dreams would have thought that Qatar and the region would be under attack in this way, especially from a brotherly Muslim country during Ramadan.”
He added that 12.8 million tonnes per year of LNG production are now offline, with repairs and resumption of full operations likely to take several years. The company cannot restart production until hostilities cease, highlighting the broader security risks facing energy infrastructure in the Gulf.
The attack has also put major international partners at risk. ExxonMobil holds stakes in the affected LNG trains, while Shell is a partner in the damaged GTL facility, which could take up to a year to repair. Analysts warn that the disruption could set the region’s energy sector back 10 to 20 years, with ripple effects on global markets.
The Qatar LNG disruption comes amid an escalating Middle East crisis. Iran has warned that energy facilities linked to U.S. interests are legitimate targets, raising the stakes for Gulf energy security. Meanwhile, U.S. President Donald Trump declared that the United States would intervene if attacks extend to Qatar, underscoring the potential for a wider regional conflict.
Energy analysts warn that the incident will likely trigger higher global energy prices, affecting countries including Nigeria. Rising costs of petrol, electricity, and industrial fuels could exacerbate inflation, disrupt logistics, and impact households and businesses.
The humanitarian consequences could be severe. The World Food Programme (WFP) warns that 10.4 million people in West and Central Africa could be pushed into acute food insecurity if the conflict persists. Globally, up to 45 million additional people may face hunger, adding to the 318 million already struggling with food insecurity, as higher energy prices drive up the cost of food production and transportation.
The QatarEnergy CEO emphasised that the country’s recovery plan is focused on repairing critical infrastructure while maintaining contractual obligations to the extent possible. Meanwhile, governments and energy companies worldwide are reviewing contingency plans to mitigate supply shocks and price volatility.
The attacks serve as a stark reminder of the vulnerability of critical energy infrastructure in geopolitically tense regions, highlighting the urgent need for enhanced security, diversified supply chains, and coordinated international responses to prevent global economic fallout.
