QatarEnergy (QE) has bought 33 spot liquefied natural gas (LNG) cargoes from the United States this year to help maintain supplies to key Asian customers after the Iran war halted Qatari gas exports through the Strait of Hormuz, according to four trade and industry sources.
The cargoes are destined for South Korea, Taiwan, Bangladesh, India and Japan after QE declared force majeure on its LNG shipments when Iran closed the strategic waterway to shipping.
The purchases are significantly higher than the four spot cargoes QE bought last year and reflect the company’s effort to reduce disruption for customers while force majeure releases it from its contractual obligations.
According to Reuters calculations, the 33 cargoes are worth about $1 billion and represent roughly one-third of QatarEnergy’s monthly LNG exports before the conflict.
One source described the purchases as “a gesture of good faith” towards some of QatarEnergy’s key customers.
Another source said QE wanted to demonstrate to buyers that it valued their business and was making every effort to keep supplies flowing despite the disruption.
The sources said QatarEnergy bought cargoes directly from US producer Venture Global LNG and also acquired additional shipments from some of the company’s customers. Venture Global declined to comment.
Data analytics firm Kpler said 28 of the 33 cargoes have already been delivered, while the remaining five are on their way to South Korea, Taiwan and India.
The United States has become the world’s largest LNG exporter in recent years, with producers such as Venture Global benefiting from increased demand for alternative supplies during both the Iran war and Russia’s invasion of Ukraine.
Faridah Abdulkadiri
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