US Israel Iran War: The prices of Brent Crude went past $112 a barrel, pushing world markets into turmoil. This was after Qatar’s Ras Laffan industrial city was severely attacked by Iran’s ballistic missiles in response to an attack on the South Pars gas field.
Extensive Damage At World’s Largest LNG Plant In Qatar, India’s Source Of 47 Percent LNG
Iran’s South Pars gas field in the Persian Gulf was attacked by Israel and the United States, according to Iranian officials.
The Islamic Republic of Iran responded with massive strikes on Arab states and Israel, upending energy and financial markets. United States President Donald Trump denied that USA wasn’t aware of Israel’s strikes on the South Pars gas field.
In retaliation, Iran targeted a vital gas plant in Ras Laffan Industrial City of Qatar, one of the world’s largest LNG (liquefied natural gas) suppliers. This could be devastating for India as it imports nearly 47 percent of its gas requirements from Qatar.
Approximately 12-13 million tonnes of LNG of India’s annual imports of 27 million tonnes of LNG requirements come only from Qatar. Approximately 24 percent comes from UAE and nearly 11 percent comes from USA.
Claire Jungman, Director of Maritime Risk & Intelligence at energy market analytics firm Vortexa, remarked that the disruptions could be immense and immediate as there is no spare capacity in the liquefied natural gas market. LNG shipments from UAE and Qatar are now off the market (20 percent of global LNG supply). This resulted in a massive surge in Europe’s TTF benchmark gas prices and Asia’s spot LNG prices.
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Florence Yu, Associate LNG Market Analyst at Vortexa, commented that India, China and Taiwan would be among those worst hit. According to Wood Mackenzie estimates, approximately 2.2 billion cubic meters or of LNG exports are likely to be at risk every week shipments are halted at the Strait of Hormuz.
US Israel Iran War–Helium Prices Soar
Disruptions to natural gas processing from Qatar due to the Middle East crisis have driven the prices of Helium extremely higher. Since the crisis began, Helium spot prices have doubled.
Last week, QatarEnergy, the world’s second-largest LNG exporter, announced a production halt at its 77 million tons per annum (mtpa) facility.
Any disruption to the output of LNG directly cuts the supply of helium as it is extracted as a natural gas processing by-product.According to market experts, a 30-day disruption to the Strait of Hormuz could raise helium prices by as much as 10-20 percent while a 60-90 day outage could drive prices higher by 25-50 percent.
Trump Warns To ‘Blow Up’ South Pars Gas Field
US President Donald Trump has warned Iran it would severely blow up the entirety of the South Pars Gas Field in Iran if it continues to target Qatar’s energy facilities. Trump is now also contemplating deploying thousands of US forces to the Middle East.
Nifty And SENSEX FALLS, LNG And LPG Shortages To Hurt Every Industry
The NSE Nifty50 lost 441.45 points to 23,336.35 while the S&P BSE Sensex plummeted 1,446.01 points to 75,258.12.
According to market analysts, India’s economy, corporate earnings and GDP growth in FY26 and FY27 would be impact if Brent Crude stays above $110 for long. This would impact every industry in the country, including hospitality, catering, medical sciences, common man’s kitchen, pharmaceuticals, financial sector, insurance, basic essentials and more.
