A tanker carrying liquefied natural gas (LNG) from Qatar is heading north through the Red Sea to expedite gas deliveries to European customers. This maritime route is practically rare due to vulnerability to potential attacks from Houthi rebels.
Shipment Details and Destination
This tanker, which loaded a shipment of liquefied gas in August from Qatar, has declared Poland as its next destination based on ship tracking data. Orlen SA of Poland has a long-term supply contract with QatarEnergy, although shipments under this contract were canceled following drone attacks on the large Ras Laffan facilities in March.
Read more: Tankers' shipments respond to new sanctions
Security and Economic Challenges
This passage occurs as natural gas prices in Europe have reached their highest level in nearly four years. Commercial vessels are increasingly inclined to avoid the Red Sea, typically opting for the longest route, which involves rounding the Cape of Good Hope towards Europe. This route can add up to two weeks and additional costs to a one-way trip.
According to the UK Maritime Trade Operations report, on Saturday, an unknown LNG tanker was attacked by a small boat near the port of Al Mukalla in Yemen, which fired two shots. The tanker’s security team responded to the attack and fired two shots at the boat. However, ship tracking data indicates that the tanker bound for Poland was the only LNG tanker in the area at that time and appears to have continued its journey.
Economic Implications for Europe
Ongoing disruptions around the Strait of Hormuz have limited global LNG supply for months, driving up prices and forcing Middle Eastern suppliers to seek solutions to problems. The recent gas shipment from Qatar to Europe comes at a time when the continent is struggling to fill its gas reserves ahead of the winter season. The reserves of this fuel are at their lowest level in over a decade, posing a threat for further price increases as temperatures drop.
Read more: Russian diesel exports to the U.S. to begin after contracts are signed · Iran's Foreign Minister: The proposal to reopen the Strait of Hormuz is still on the table
