22 Hrs
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الاقتصادية
LNG deals at risk due to force majeure
The Hormuz Strait crisis reveals profound impacts on liquefied natural gas (LNG) contracts, leading to the removal of about 20% of global supplies from the market and exposing legal and contractual gaps that were not evident during times of abundance. The crisis demonstrated that the force majeure clause is being tested more rigorously, as some shipments are no longer easily executed and now require alternative arrangements or delays, with rising insurance costs and restrictions on transportation operations. Additionally, the event underscored the critical importance of shipping clauses, since the closure of maritime passages can determine the delivery of shipments, thereby doubling the challenges after the crisis, including the need to reintegrate delayed volumes and strengthen risk management in future contracts.
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