The last few days have seen attacks on major oil and gas sites in the Middle East that could reshape energy supplies and push global prices higher. What started as a strike on a major Iranian production site quickly spread, with regional facilities damaged and markets reacting nervously.

What kicked this off

An attack on a production facility at the South Pars gasfield escalated the situation. Iran said the strike amounted to a "full-scale economic war" and then vowed to target energy infrastructure across the region.

Major strike on Qatar's LNG hub

Within hours of the South Pars incident, missiles struck Ras Laffan, the center of Qatar's liquefied natural gas processing. Qatar confirmed five ballistic missiles were launched from Iran. Four were intercepted, and one hit the Ras Laffan industrial complex, which handles the country’s gas exports.

Damage and recovery: QatarEnergy's chief executive said repairing the damaged facilities will take three to five years, raising the real possibility of a prolonged disruption to seaborne LNG supplies.

Qatar’s exports are large enough to matter: they accounted for about one fifth of the global LNG market last year, and roughly 80% of that went to buyers in Asia.

Other sites threatened or hit

Iranian state media warned that key oil and gas targets in Saudi Arabia, the UAE and Qatar were legitimate targets and should be evacuated. Since then, multiple facilities have been threatened or attacked. Notable locations include:

  • Saudi Arabia: the Samref refinery near Yanbu and the Jubail petrochemical complex.
  • UAE: the al-Hosn gasfield, the Habshan processing complex, and the Bab oilfield.
  • Qatar: the Mesaieed petrochemical complex.
  • Kuwait: the Mina al-Ahmadi and Mina Abdullah refineries, which suffered fires after drone strikes.

Saudi authorities reported a drone attack on Samref and said they intercepted a ballistic missile headed for Yanbu. In the UAE, falling debris from intercepted missiles forced the Habshan complex to shut down temporarily.

How markets reacted

Gas prices jumped sharply as news of the strikes spread. European gas benchmarks rose about 30% at the start of trading, roughly doubling pre-crisis prices and reaching levels not seen since early 2023.

Analysts warned the disruption could be long-lasting. One consultancy head described the situation as moving toward a "doomsday gas crisis scenario," saying supply problems could last months or even years depending on damage.

Rystad Energy analysts indicated Brent crude could breach the $120 per barrel level in the immediate aftermath, with further increases possible if the damage is extensive.

Why this matters globally

Targets in the Gulf matter because the region supplies a large share of the world’s oil and gas. Extended outages or continued attacks on production and export infrastructure would push up energy prices worldwide and hit countries that rely on imports.

Statements and posture

Regional leaders and energy executives have voiced alarm. Qatar warned that hitting energy infrastructure is a threat to global energy security, and QatarEnergy's CEO said he was stunned that this would happen during the month of Ramadan and from a fellow Muslim country.

International reactions have been sharp. Some political leaders issued stern warnings against further strikes on energy infrastructure, reflecting how the crisis has already widened beyond local borders.

Bottom line

This is not just a series of isolated incidents. Strikes on major processing and export facilities can ripple through global markets and could cause sustained supply problems. The coming days and weeks will show whether the damage is limited or if the disruption becomes a long-term problem for world energy supplies.