Red Sea Instability Forces Qatar To Divert LNG Cargoes

19 Jan 2024 Issue: 67 / 3 By: James Marriott

Escalating attacks and counterattacks in the Red Sea and Yemen have pushed Qatar to divert its West-of-Suez LNG shipments. As a leading LNG exporter, the decision will have knock-on delays and costs, although Europe’s post-Ukraine conflict need for Qatari volumes has reduced as more US cargoes have hit the market.

Volatility in the Red Sea has proven an impossible situation to navigate for international shipping and energy companies. A fleet of container and tanker traffic controlled by world-leading companies have been either officially or quietly diverted away from the Red Sea in the face of continual waves of attacks.

On 15 January, the US-owned and operated bulk carrier Gibraltar Eagle (IMO: 9702508) was struck by an anti-ship ballistic missile from Yemen’s Iran-backed Houthi movement. The following day, the Houthis struck the Zografia (IMO: 9486013) bulk carrier as it was heading north through the Red Sea. Greek-owned and Malta-flagged, the vessel was reportedly sailing from Vietnam to Israel. This was followed on 17 January by a successful attack on the US bulk carrier Genco Picardy (IMO: 9301720) off the coast of Aden. (CONTINUED - 1361 WORDS)