Qatar is preparing to rapidly restore its liquefied natural gas output within weeks of the Strait of Hormuz reopening, Bloomberg reported Tuesday, citing anonymous sources. State firm QatarEnergy told customers it could return roughly half of its production capacity within a month of safe navigation being reestablished, with full restoration expected within two months. The move follows a U.S.-Iran framework peace deal to end the three-month conflict and reopen the waterway.
QatarEnergy curtailed LNG production in early March, just before an Iranian missile strike hit a Qatari liquefaction facility in mid-March. The plant, one of the world's largest, has been offline since, tightening global gas markets. Analysts expect Qatar's rapid restart could help ease supply fears, especially in Asian and European markets dependent on Qatari cargoes.
QatarEnergy's infrastructure is designed for fast restart, with storage and pipeline networks that can be brought online in phases. The company is already prepping crews and logistics for a staged ramp-up once Hormuz is declared safe. With global gas prices still elevated, a quick return would provide much-needed relief to importers.
A senior U.S. administration official announced that President Donald Trump and Vice President JD Vance signed the deal virtually alongside Iranian parliament speaker Mohammad Baqer Qalibaf. A formal signing ceremony is expected in Geneva on June 19. The agreement does not detail specific security guarantees for commercial vessels transiting Hormuz.
European buyers, already scrambling for supply, welcomed the news cautiously. Yet renewable energy advocates warn that focusing on LNG restart delays the long-term shift toward green alternatives. "We're just reinforcing fossil fuel dependence," noted one analyst from the Institute for Energy Economics and Financial Analysis.
Counter-argument: Some analysts caution that Iran may not fully adhere to the peace deal, delaying Hormuz's reopening and pushing Qatar's restart timeline into 2026.