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Qatar may reduce LNG exports to US

25 May 2010

(MENAFN) Qatari Deputy Prime Minister Abdullah bin Hamad al-Attiyah said in an interview that Qatar may end up exporting just 6 million metric tons a year (mty) of liquefied natural gas (LNG) to the US after diverting as much as 20 million mty to other countries, Gulf Times reported.

To date, Qatari LNG exports to the US have been well below those levels, reaching just 60,000 million tons in 2008 and 260,000 million tons in 2009.

Qatar’s contracts with US offtakers allow the country to divert term supplies to other markets if it can achieve ï¿½better prices, related to oil, al-Attiyah said.

In contrast, its US LNG contracts are linked to the Henry Hub price of gas. Some of the countryï¿½s European LNG contracts also allowed such diversions, he added.

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