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Shell Invokes 'Force Majeure' and Fails to Deliver Liquefied Gas

Published March 11, 2026, 14:11
Shell Invokes 'Force Majeure' and Fails to Deliver Liquefied Gas

Shell, the world's largest liquefied natural gas (LNG) trader, has declared force majeure on LNG cargoes it purchases from QatarEnergy due to the production halt in Qatar following Iranian strikes on energy facilities. This means Shell is unable to fulfill its customers' LNG orders. Qatar, the second-largest LNG exporter, announced the production halt at its facilities, which produce 77 million tons per year. Other LNG buyers from Qatar, including TotalEnergies and Asian companies, have also received force majeure notices and have informed their customers that they will not sell LNG from Qatar while the facilities remain closed. This move is part of a broader trend, as the ongoing conflict in the Middle East is impacting the production and distribution of energy products worldwide. The force majeure declarations by Shell and other companies highlight the vulnerability of the global energy market to geopolitical tensions and the need for diversification of energy sources. The production halt in Qatar is expected to lead to higher LNG prices and potential shortages, especially during the winter months.