Why are gas prices soaring and how could it affect you?
Analysts fear the disruption to supply could continue for longer than initially thought.
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Why are gas prices soaring and how could it affect you? 11 minutes ago Share Save Share Save A major gas facility in Qatar has been hit by missile attacks, causing "extensive damage", the country's state-run energy firm has said. The Iranian strikes follow reports that Israel hit a petrochemical complex in Iran. The attack on Qatar's Ras Laffan industrial hub has sent gas prices soaring. What is Ras Laffan and what does it do? Ras Laffan Industrial City is Qatar's main site for producing liquefied natural gas , which is used globally for cooking, heating homes and generating electricity. It produces about a fifth of the world's supply of LNG. As well as processing LNG, the industrial hub's other facilities include a gas-to-liquids plant, LNG storage and an oil refinery. It is located 80km (50 miles) north-east of Qatar's capital Doha, and close to the world's largest gas field that the country shares with Iran. The Iranian side is called South Pars; Qatar's side is called North Dome and covers an area of more than 6,000 sq km (2,315 sq miles). Ras Laffan is run by the state energy company QatarEnergy. Several international energy firms also have operations there, including US giants ExxonMobil and Chevron and the UK's Shell. Production has been shut down there since early March, shortly after war broke out. What is happening to gas prices? QatarEnergy confirmed overnight that Ras Laffan had been subjected to two missile attacks, one that resulted in "extensive damage" to Shell's Pearl gas-to-liquids facility, and one that caused "sizeable fires and extensive further damage" to several of its LNG facilities. Gas prices, which had already been rising since the start of the conflict, surged . On Thursday, they briefly reached a peak of almost 183p per therm before falling back to 154.8p, an 11.3% increase from Wednesday's level. European gas prices were also up by more than 10% on Thursday. Follow live updates on Iran war Matthieu Favas, commodities editor at The Econo...
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