QatarEnergy Scoops Up $1B in US LNG Cargoes Amid Strait of Hormuz Disruption
QatarEnergy has made significant purchases of US liquefied natural gas (LNG) in an effort to maintain its reputation as a reliable supplier to Asian clients. The company has bought 33 spot LNG cargoes this year, worth around $1 billion, from the US for delivery to South Korea, Taiwan, Bangladesh, India, and Japan.
The purchases were made directly from US producer Venture Global LNG, as well as through its customers, following a force majeure declaration by QatarEnergy due to Iran's closure of the Strait of Hormuz. This move was seen as a 'good faith' gesture towards key customers who rely heavily on Qatari gas exports.
About 80% of Qatar's LNG shipments typically go to Asia, and this purchase was aimed at maintaining supply despite the force majeure declaration. The 33 cargoes account for a third of a month's exports from QatarEnergy before the conflict.