TotalEnergies: Impact of Qatar shutdowns on our LNG trading is limited, around 2 million tonnes || 15% of affected production account for about 10% of our upstream cash flow

TotalEnergies has stated that the impact of production shutdowns in Qatar on its liquefied natural gas (LNG) trading activities is limited to approximately 2 million tonnes annually, with the company emphasizing that most Qatari LNG is marketed directly by QatarEnergy. The shutdowns, triggered by drone strikes on facilities in Ras Laffan and Mesaieed Industrial Cities, have led to a temporary halt in LNG exports through the Strait of Hormuz, affecting global supply chains. TotalEnergies, along with Shell, has reportedly declared force majeure to downstream buyers, citing disruptions to contractual deliveries from QatarEnergy.

The company's exposure to the Middle East accounts for 15% of its total production, though this represents only 10% of its upstream cash flow due to higher taxation in the region. Production shutdowns in Qatar, Iraq, and UAE offshore have reduced output, though onshore UAE operations remain unaffected as they are exported via the Fujairah terminal. With Qatar contributing roughly 20% of global LNG exports, the disruption has tightened supply, pushing gas prices higher in Asia and Europe as buyers seek alternatives. Some cargoes initially destined for Europe have been redirected to higher-priced Asian markets, exacerbating regional supply constraints.

QatarEnergy's force majeure declaration, following the attacks, has delayed shipments for several days, with full resumption potentially taking "weeks to months," according to Qatar's energy minister. TotalEnergies noted that the primary impact on its LNG trading is expected to materialize from April 2026 onward, with March deliveries largely unaffected. The company continues to monitor the situation closely and will update stakeholders if there are material changes.