The Iranian strike that destroyed liquefied natural gas facilities in Ras Laffan, Qatar, last week has set off ripples that will affect the global economy until the end of the decade.
The attack knocked out two LNG trains and a gas-to-liquids unit, cutting about 12.8 million tons a year of LNG output — roughly 17% of Qatar’s export capacity — for an estimated three to five years. Energy Minister Saad Sherida Al Kaabi told Reuters that Qatar could lose about $20 billion a year in energy revenue, while rebuilding is expected to cost $26 billion.
The fallout extends beyond Qatar, one of the wealthiest countries in the world. Doha’s planned LNG expansion, aimed at boosting annual output from 77 million to 126 million tons by 2030, will be delayed. LNG prices have surged, and some Asian buyers, including Bangladesh and Pakistan, are weighing options, such as securing alternative supplies, switching to dirtier fuels, or cutting demand.