QatarEnergy extends LNG cancellations into November as Hormuz disruption drags on
QatarEnergy’s latest cancellations run into early November. Buyers in Europe and Asia are finding replacement cargoes, switching to other fuels or using less gas, while no one knows when LNG shipping through the Strait of Hormuz will return to normal.
BNY's Geoff Yu warns of risks stemming from Middle East tensions and the Strait of Hormuz, where constrained traffic keeps crucial energy supply routes vulnerable. Qatar's prolonged force majeure on LNG exports looms over European winter gas balances, potentially reigniting inflation pressures. Meanwhile, oil prices for Brent, WTI, and Dutch TTF markets display a precarious balance.
Europe's primary concern is a prolonged gas supply shortage before winter, as LNG prices have already nearly doubled since pre-war levels. Persistent disruptions could escalate rivalry with Asian buyers, hike import expenses, and possibly restore inflation pressure via energy and industrial sectors. Thus, Europe remains highly susceptible to any failure to reopen Hormuz and restore Qatari LNG deliveries.
Iran suggests that reopening the Strait of Hormuz may be part of a larger deal if certain U.S. conditions are met, thereby keeping the shipping route at the forefront of de-escalation efforts.
Written by urgent.news from FXStreet's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
