Energy crisis fears loom as Qatar shuts off world’s largest LNG plant

BRUSSELS — Qatar’s huge state-owned gas company halted production of liquefied natural gas on Monday in the wake of Iranian attacks on key energy infrastructure, sending gas prices skyrocketing and compounding fears of an energy crisis.

QatarEnergy accounts for nearly 20 percent of the global LNG trade, and is the fourth largest supplier of LNG to the EU, accounting for 6 percent of the bloc’s total intake.

The benchmark LNG price in Europe soared as much as 25 percent after QatarEnergy announced it had “ceased production of … LNG and associated products” following military attacks on operating facilities in Ras Laffan Industrial City and Mesaieed Industrial City.

A prolonged closure of the massive plant in the Persian Gulf would have a major impact on global supply of the fossil fuel used in electricity generation, heating buildings and powering industry. It follows U.S. and Israeli attacks on Iran which began over the weekend.

EU member countries were already jittery about the prospect of airstrikes on energy facilities in the Strait of Hormuz, a key chokepoint for seaborne shipments of oil and liquefied natural gas from Gulf states. All Qatari LNG passes through the Strait of Hormuz.

EU countries already kicked off 2026 with lower gas reserves than in recent years, with 46 billion cubic metres at the end of February 2026, down from 60 billion cubic meters in 2025, according to Bruegel.