Asian LNG Buyers Expect Qatar to Lift Force Majeure by Mid-July
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QatarEnergy is expected to let its force majeure on Asian LNG deliveries expire in mid-July, signaling the world's largest LNG exporter is resuming supply obligations as the Strait of Hormuz crisis eases.
Why is the force majeure expiring?
QatarEnergy typically notifies customers about a month before renewing force majeure — but no such notice has been sent, according to Bloomberg.
This means → the company intends to let the clause lapse automatically in mid-July rather than roll it over.
A similar clause covering European buyers is set to expire in mid-August; those buyers likewise expect no renewal.
Why was force majeure declared in the first place?
In March, Iran struck Qatar's Ras Laffan LNG complex, effectively closing the Strait of Hormuz — a chokepoint carrying roughly one-fifth of global LNG supply.
QatarEnergy declared force majeure, suspending delivery obligations, and has rolled the clause monthly since then.
In plain terms = force majeure is a legal pause button — "an extreme event beyond our control means we can't deliver, so contract penalties are frozen."
How far has the recovery come?
After a US-Iran interim ceasefire reopened the strait, QatarEnergy began moving empty tankers into Ras Laffan and readying equipment.
Some cargoes have already shipped through the strait.
Qatar's prime minister told the *Financial Times* this week that output at undamaged facilities should return to normal levels within weeks.
Can supply really recover on schedule?
Sources caution that QatarEnergy may maintain force majeure if the strait situation deteriorates again.
A recent attack on a cargo vessel has kept markets on edge about the waterway's safety.
This means → the expected expiry is a positive signal, but the pace of supply recovery still hinges on strait security — an unresolved variable.
Content is for reference only, not financial advice.