Qatar Energy Minister Warns Escalating Conflict with Iran Could Halt Gulf Energy Exports Within Weeks

Qatar’s Energy Minister Saad al-Kaabi said the conflict could slow global economic growth and push energy prices higher if it continues.      The warning comes as missile and drone attacks linked to the conflict have started affecting energy infrastructure and maritime traffic in the Gulf region.

Qatar temporarily halted liquefied natural gas (LNG) production on Monday after Iran launched missile and drone attacks targeting Gulf countries.

The strikes came in response to military actions by the United States and Israel that began over the weekend.

Qatar is one of the world’s largest LNG exporters, accounting for about 20% of global LNG supply. Its shipments are crucial for energy markets in Asia and Europe.

Al-Kaabi told the Financial Times that if the conflict continues for several weeks, Gulf producers may have to suspend exports.

He said companies in the region could soon invoke force majeure, a clause that allows them to suspend supply obligations during extraordinary events.

According to the minister, exporters across the Gulf may have no choice but to declare force majeure if the situation continues to disrupt operations and shipping.

The conflict is also affecting maritime traffic through the Strait of Hormuz, one of the world’s most important oil and gas shipping routes.

The narrow passage connects Gulf producers with global markets through the Gulf of Oman and the Arabian Sea. A large share of the world’s crude oil and LNG shipments passes through this route.

Energy analysts say tanker traffic through the strait has already declined because of the security situation.

Thijs Van de Graaf, an energy fellow at the Brussels Institute for Geopolitics, said producers relying on this route may have to reduce or stop production. He noted that Iraq has already shut production at two to three major oil fields due to export disruptions.      He also pointed out that oil wells cannot be turned on and off quickly, meaning long shutdowns could affect global supply for an extended period.      Al-Kaabi warned that the conflict could cause serious disruptions in global energy markets. He said crude oil prices could rise to about $150 per barrel within two to three weeks if tankers cannot safely pass through the Strait of Hormuz.      Higher energy prices could affect manufacturing and supply chains around the world.

The minister added that shortages of some products could occur and global GDP growth could slow if the conflict continues for several weeks.     Even if the conflict ends soon, restoring normal LNG deliveries may take time. Al-Kaabi said it could take weeks to months for Qatar’s shipments to return to normal.      The disruption could also delay QatarEnergy’s North Field expansion project, one of the world’s largest LNG development projects.     The project was expected to begin production in mid-2026, but delays are now possible. Once completed, the North Field project will significantly increase Qatar’s LNG export capacity.