Qatar Loses First LNG Customer Since War Disrupted Flows

By Ruth Liao and Stephen Stapczynski

Nov 11, 2026 (Bloomberg) –Polish energy company Orlen SA terminated one of its long-term liquefied natural gas contracts with QatarEnergy, citing the export giant’s inability to deliver as the conflict in the Middle East disrupts shipments.

The annulment is the first by a customer of QatarEnergy, which supplied about a fifth of the world’s LNG until the war between the US and Iran throttled its shipments through the Strait of Hormuz and damaged its export infrastructure. It is another blow for the emirate, as the nation’s budget deficit increases because of the lost revenue.

Missile strikes in March damaged the world’s largest LNG export plant in Qatar — badly damaging two of its 14 production units and forcing the supplier to declare force majeure, a legal clause allowing producers to miss deliveries due to factors beyond their control, on shipments for the first time. Iranian attacks on vessels continue to slow shipping through Hormuz, cutting gas flows to a third of pre-war levels last month.

The inability to meet contractual obligations led to the dissolving of the contract that was meant to run until 2034 and had an estimated value of €570 million ($637 million) this year, Orlen said in a statement on Tuesday. The agreement remains in force for a further 60 days. Orlen will retain a second supply contract with Qatar. 

Qatar sells most of its fuel under long-term contracts and has put its customers in Europe and Asia on force majeure notice for months. That’s forced buyers to replace the supply with spot cargoes, prices for which are at the highest level in years.

Extended use of the clause eventually gives buyers the right to walk away, typically after a prolonged period of canceled deliveries. Qatar has been extending the measure every month, with its latest notice affecting shipments through the end of the year.

Buyers are “unable to make longer term arrangements for alternative supply if their Qatari contract remains on foot, because if the volumes return at some point, it would leave the customer with an overly contracted position,” said Saul Kavonic, senior energy analyst at MST Marquee. “The longer the disruption lasts, the more customers will come under pressure to pursue this alternative.”

Read More: Qatar Rewrites Its Gas Playbook With Old Tankers and New Tactics

The canceled Qatari contract was Poland’s first LNG purchase agreement, paving the way for the European country to begin importing the super-chilled fuel in 2015. The contract was priced at 16% of Brent oil, according to a BloombergNEF database of LNG contracts, making it among the most expensive term deals in effect.

Orlen’s second deal with Qatar is linked to natural gas benchmarks. Meanwhile, the Polish company has signed deals to procure LNG from projects in Texas and Louisiana including Port Arthur and Plaquemines — more affordable and flexible options that allows its trading desk to resell shipments.

© 2026 Bloomberg L.P.

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