Media: Qatar, UAE LNG fleets move into “shadow” as shipping risks escalate

Leading liquefied natural gas producers Qatar and the United Arab Emirates are running out of time and patience amid persistent security risks in the Strait of Hormuz, prompting them to adopt stealth shipping practices to safeguard LNG deliveries, Bloomberg reports, citing sources and vessel-tracking data.

Tankers operated by QatarEnergy and Abu Dhabi National Oil Co. (ADNOC) have begun “moving into the shadows” — a measure aimed at reducing risks to vessels and crews transiting the strategic waterway.

Sources said Qatar has begun instructing chartered or company-owned tankers to switch off transponders near Ras Laffan, the world’s largest LNG export terminal, as well as when entering or exiting the Persian Gulf via the Strait of Hormuz.

In addition, vessels are encouraged to cross the Gulf in pairs to enhance security. Captains unwilling to operate in “dark” mode are being replaced, the sources said.

“This is a battle for the freedom of navigation,” said Michelle Wiese Bockmann, analyst at maritime intelligence firm Windward. “You look at all those chokepoints, and all of a sudden the foundation of seaborne international global trade just goes out the window. We are seeing the increase in dark transits and the escalation of risk.”

As the conflict enters its fourth month, the Strait of Hormuz remains under Iranian influence. The move toward “dark” transits is primarily aimed at reducing risks for vessels and crews passing through the waterway — risks expected to persist until a lasting settlement is reached — but it also underscores the growing political and financial pressure on major producers such as Qatar and its regional peers.

At the same time, it may have longer-term implications for the LNG market, which is becoming increasingly opaque just as Asian buyers are already questioning the future of a fuel that has faced two major supply crises in a little over four years.

By Jeyhun Aghazada