Key Takeaways
- QatarEnergy expects its first train of the North Field East (NFE) project to start production in 2027.
- Disruptions in the Strait of Hormuz may delay additional trains of the NFE project.
- QatarEnergy aims to become the largest LNG trader in the world by expanding its trading business.
QatarEnergy has stated that the first train of its North Field East (NFE) liquefied natural gas (LNG) expansion project is expected to start production in the first half of 2027. However, the company warns that additional trains will depend on the ongoing crisis in the Strait of Hormuz.
Speaking at the Qatar Economic Forum Special Edition in New York, QatarEnergy CEO Saad al-Kaabi highlighted that equipment needed for the expansion is still unable to reach the country due to the disruption in the strait, which has effectively closed it since the US and Israel began their war on Iran.
The company is currently dealing with damage caused by attacks on its Ras Laffan export hub, which has wiped out 17% of the country’s LNG capacity. Two LNG trains have been damaged, and repairs could take up to three years, while one gas-to-liquids (GTL) plant will complete repairs in the first quarter of 2027.
Despite the challenges, al-Kaabi stated that Qatar would be able to resume normal gas operations within weeks once the Strait of Hormuz reopens. He also mentioned that QatarEnergy is currently producing very little LNG.
Nigeria’s NLNG aims to start up its Train 7 LNG project by the end of 2027, and a few LNG trains under the NFE expansion are due to start during the same year. The North Field South (NFS) expansion is expected to begin production in 2028.
Al-Kaabi dismissed suggestions that pipelines through neighbouring countries could provide a practical alternative to exports through the Strait of Hormuz. He thanked neighbouring countries for offering access to their territories but stated that Qatar had rejected the option on commercial and technical grounds.
QatarEnergy is also expanding its trading business and aims to become the largest LNG trader in the world by far in the near future. The company is currently producing very little LNG but is focused on expanding its trading operations.
Al-Kaabi also mentioned that the second and third trains at the Golden Pass LNG project in Texas, a joint venture between QatarEnergy and Exxon Mobil, are expected to be fully operational in 2027. The project is expected to produce 18 million metric tons per year of LNG once fully operational.
In response to reports that Qatar was buying LNG in the market, al-Kaabi said that QatarEnergy continued to expand its trading business and was on track to become the largest LNG trader in the world.
Disruptions caused by the effective closure of the strait since the US and Israel began their war on Iran threaten to push back part of the world’s largest LNG expansion project.
Saad al-Kaabi, QatarEnergy CEO and minister of state for energy affairs
