Iran war pushes Asia to think twice before doubling down on LNG
A record wave of new liquefied natural gas supply was meant to usher in a prolonged period of lower prices. Governments from India to Southeast Asia crafted energy strategies that would allow them to use the surplus to move away from a heavy reliance on coal.After seven weeks of war in the Middle East that have caused the world’s worst-ever energy crisis, those assumptions now look like distant, wishful thinking.The near-closure of the Strait of Hormuz and the serious damage sustained by Qatar’s LNG export plant has sent prices higher and buyers scrambling for alternatives. Gas’s reputation as a reliable and affordable energy source has taken a serious hit, and plans for its speedy adoption in Asia’s developing nations have been derailed, with potentially long-lasting consequences.
