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QatarEnergy Reportedly Prepares Rapid LNG Production Restart as Hormuz Reopening Nears

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QatarEnergy is reportedly preparing to rapidly restore LNG production after the Strait of Hormuz reopens, with most export capacity expected back within two months, according to multiple media reports on Tuesday.

Iranian missile strikes in March damaged two of the 14 LNG trains at the Ras Laffan LNG complex and one of Qatar's two gas-to-liquids facilities, cutting about 17% of the country's LNG export capacity and leaving repairs likely to take years, according to the reports.

Following the outbreak of war in late February, Qatar shut down much of the Ras Laffan complex after disruptions to shipping through the Strait of Hormuz made large-scale exports difficult. The facility accounted for nearly one-fifth of global LNG supply last year.

Shipping logistics remain the biggest challenge to restarting exports. The pace of recovery will depend on how quickly LNG tankers can return, load cargoes, and safely transit the Strait of Hormuz, according to the reports.

QatarEnergy expects to bring LNG production back to about 50% of capacity within one month after safe shipping resumes through the Strait of Hormuz and raise output to around 80% within two months, the reports added.

The company has been preparing for a restart since April by testing equipment and performing maintenance. Several LNG trains have also continued operating at reduced rates to supply neighboring countries while remaining ready to increase production when needed, according to the reports.

A recovery in Qatari LNG exports could help ease tight global gas supplies. While Qatar has managed to move a limited number of cargoes by masking tanker locations, LNG prices in Europe and Asia remain above pre-war levels, according to the reports.

QatarEnergy did not immediately respond to' request for comment.

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