An LNG tanker arriving in Singapore
Liquids give Qatar LNG negative breakeven – Rystad
Existing Ras Laffan trains could cover costs even if LNG prices went to zero
State-owned Mid-East Gulf gas behemoth Qatar Petroleum’s Qatargas 1 Train 1 has an estimated variable cost of LNG production of just $1.60/mn Btu, according to analysis by consultancy Rystad Energy. But, if pre-tax liquids revenue from associated liquids production is considered, it calculates these costs are offset by oil revenues of c.$2.60/mn Btu. And that brings net costs down to -$1/mn Btu. Qatari production is therefore in the money even if LNG prices moved to zero or even into slightly negative territory. In an increasingly flexible global market, such a scenario is unlikely. But the UK NBP gas market, for example, has briefly experienced negative pricing previously, when North Sea as
Also in this section
4 December 2025
Time is running out for Lukoil and Rosneft to divest international assets that will be mostly rendered useless to them when the US sanctions deadline arrives in mid-December
3 December 2025
Aramco’s pursuit of $30b in US gas partnerships marks a strategic pivot. The US gains capital and certainty; Saudi Arabia gains access, flexibility and a new export future
2 December 2025
The interplay between OPEC+, China and the US will define oil markets throughout 2026
1 December 2025
The North African producer’s first bidding round in almost two decades is an important milestone but the recent extension suggests a degree of trepidation
