Qatari Energy Minister Saad al-Kaabi has issued a dire warning regarding the stability of global energy markets, stating that a protracted conflict with Iran could lead to a total cessation of resource exports from Persian Gulf producers within weeks. In an interview with the Financial Times, later reported by Reuters, al-Kaabi cautioned that such a scenario would drive oil prices beyond $150 per barrel and force regional exporters to declare force majeure one after another.
The situation has already escalated, with Qatar suspending liquefied natural gas (LNG) production this Monday. The move follows Iranian retaliatory strikes on Gulf infrastructure in response to attacks by the United States and Israel. The impact is expected to be significant, as Qatar accounts for approximately 20% of the global LNG market, and any prolonged deficit will severely disrupt fuel balances across Europe and Asia.
Al-Kaabi emphasized that a drawn-out war would cripple global GDP growth, spark widespread commodity shortages, and lead to industrial shutdowns worldwide. He further noted that there will be no quick recovery; even if hostilities were to cease immediately, Qatar would require weeks or even months to restore its previous shipping volumes.
While experts are currently assessing the extent of the damage inflicted on Qatar's onshore facilities, the country’s offshore maritime operations have reportedly remained unaffected so far.