QatarEnergy’s LNG expansion targets early 2027 production amid reports of $3bn loan

QatarEnergy is advancing its LNG expansion and has reportedly secured a $3 billion (€2.68bn) loan from Chinese banks as war damage and shipping risks constrain exports. Shipments through Hormuz are recovering, but remain far below pre-war levels. QatarEnergy’s first production unit at its North Field East liquefied natural gas (LNG) project is expected to be ready to start up in November, Reuters reported on Wednesday. LNG production is expected to begin in the first quarter of 2027, two people familiar with the plans told the agency. Last month, QatarEnergy chief executive and Minister of State for Energy Affairs Saad Sherida Al-Kaabi said the first unit was expected to come online in the first half of 2027. He warned that disruption to shipping through the Strait of Hormuz could delay equipment deliveries for later units. North Field East includes four large production lines, known as trains, each designed to produce about 8 million tonnes of LNG a year. The project is intended to raise Qatar’s export capacity from 77 million to 110 million tonnes annually. The expansion comes as Qatar works to recover from Iranian attacks on Ras Laffan in March. The attacks damaged two LNG production units, affecting around 17% of the country’s export capacity. Al-Kaabi said last month that repairs to the damaged units could take three years, while undamaged facilities could return to normal operations within weeks of Hormuz reopening. Bloomberg also reported on Wednesday that at least 12 empty LNG carriers owned or chartered by QatarEnergy were waiting near Qatar. LNG shipments through Hormuz rose in September but remained about 75% below February levels. Chinese banks reportedly provide financing Separately, Bloomberg reported on Wednesday that QatarEnergy had secured a $3 billion (€2.68bn) loan from four Chinese banks, citing people familiar with the agreement. The five-year loan was provided by Bank of China, Industrial and Commercial Bank of China, Agricultural Bank of China and China Construction Bank (Asia), according to the report. The money is intended for general working capital. The loan was priced at 50 basis points, or half a percentage point, above the Secured Overnight Financing Rate, a US dollar lending benchmark. The deal would add to Chinese banks’ lending in the Gulf, which rose more than fivefold to a record $11.5 billion (€10.29bn) in 2025, excluding bilateral loans, according to data compiled by Bloomberg. QatarEnergy had not yet responded to Euronews’ request for comment on the production timetable and reported loan.