QatarEnergy extends LNG supply suspension to Italy until November

QatarEnergy has extended the suspension of LNG deliveries to Italy until November, extending a supply disruption that began after Iranian attacks damaged the company's production facilities in March, reported Italian energy company Edison. Five LNG cargoes scheduled between the end of September and early November will not be delivered, according to a notice on Italy's GME gas market platform.

Edison, one of QatarEnergy's largest customers, had previously announced a similar suspension on July 28 due to the ongoing impact of the damage to Qatar's LNG infrastructure. The extended suspension was confirmed by Edison, who stated they would continue to monitor the situation and provide further updates. The suspension began in April following Iranian strikes on Qatar's facilities, with production halted on March 2 and force majeure declared afterward.

Anglo-Dutch major Shell, holding a 30% stake in QatarEnergy LNG's fourth expansion train, estimated full repair of the damaged production could take until the first quarter of 2027. Qatar, which accounted for about 20% of global LNG supply before the war, produces around 77 million tonnes annually. Most of its supplies are delivered under long-term contracts to Asian buyers.

The war in Iran has severely disrupted shipments through the Strait of Hormuz, a major energy exports chokepoint, with LNG tanker crossings limited to nine in August compared to 40 in June and 17 in July. Edison, a unit of French energy group EDF, has a 25-year contract with QatarEnergy for 6.4 billion cubic meters of natural gas annually to Italy, representing about 10% of Italy's total consumption.