Force Majeure

Sui Northern Gas Pipelines Ltd (SNGPL) declared force majeure for three weeks due to tensions in the Strait of Hormuz, disrupting regasified liquefied natural gas (RLNG) supply to Punjab's power plants. This could cause power shortages, increased loadshedding, and higher reliance on costly spot markets. Qatar Energy, the supplier, cited unresolved regional conflicts and safety concerns as reasons for delayed LNG deliveries.

QatarEnergy extended its force majeure, withholding four additional liquefied natural gas cargoes until September, disrupting the LNG market and affecting Italian shipments.

Dubai developer Majid Al Futtaim has invoked force majeure clauses in home sales contracts at Tilal Al Ghaf due to disruptions from the Iran war, citing supply chain challenges and rising material costs. The company blames rerouted trade flows for delays in construction materials and higher shipping expenses, impacting project timelines and investor returns.

Kuwait declared force majeure on oil shipments due to a halt in the Strait of Hormuz. Tankers were anchored near Qeshm Island, Iran, on April 18, highlighting regional disruptions.

Emirates Global Aluminium PJSC, a top Gulf aluminum producer, has declared force majeure on some contracts. The company has partnered with GE Gas Power to upgrade gas turbines at the Al Taweelah power plant to reduce emissions.