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Qatar extends force majeure for LNG deliveries through October

QatarEnergy told buyers in Pakistan and Bangladesh that LNG cargo cancellations will continue through October, and some Europe-bound long-term deliveries were also canceled beyond September.

Reported · Written up by our desk · Energy

Qatar’s state-owned QatarEnergy has extended its force majeure on LNG deliveries to customers by several weeks, citing continued blockage of LNG flows through the Strait of Hormuz despite an increase in oil flows, according to OilPrice.

The company has informed buyers in Pakistan and Bangladesh that cancelled LNG cargoes will run through October, with traders telling Bloomberg that disruptions remain in place.

Some previously planned deliveries to Europe under long-term arrangements have also been cancelled beyond September, with Edison of Italy saying the force majeure and cargo cancellations were extended into early November.

OilPrice also cites that by July 28, a total of 24 LNG cargoes for delivery to Edison had been covered by force majeure since April, representing about 3 billion cubic meters of natural gas, with the extension tied to an LNG traffic standstill at Hormuz and the fact that LNG cannot be rerouted the same way as crude oil.

Latest closeWTI crude $81.58 ▼0.9%|Nat gas $2.918 ▲5.3%

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