US EditionMiddle East War Damage to Energy Assets May Cost up to $58 Billion, Research Firm Rystad Says
More than 80 energy facilities have been attacked, and Rystad says repairs could take years as damage and costs remain uncertain.
- Rystad Energy estimates the Middle East war caused $58 billion in damage to regional energy infrastructure, following widespread attacks on oil and gas facilities since the conflict between Iran and the U.S. and Israel began on Feb. 28.
- More than 80 energy facilities have been attacked, with over one-third severely damaged since the war's start. Fatih Birol, executive director of the International Energy Agency, noted many facilities are "badly damaged" and require up to two years for repairs.
- Iran's infrastructure sustained the heaviest damage, with repair costs potentially reaching $19 billion. Iran struck Qatar's largest LNG facility, damaging two production lines responsible for 17% of the Gulf state's gas exports and causing $20 billion in lost revenue.
- Karan Satwani, a senior analyst for supply chain research at Rystad, noted that repair work will stress global energy supply chains. At minimum, the total repair bill is at least $34 billion.
- Attacks have also targeted pipelines, refineries, and production facilities in Saudi Arabia, Kuwait, and the United Arab Emirates. The final repair bill depends on whether the damage to these assets is limited or structural.
11 Articles
11 Articles
The prestigious energy analysis company also stated that money is not the most important issue in the task.
Middle East energy repair bill may hit $58b as war strains global supply chains
Restoration spending on oil and gas facilities alone may cost $30-50 billion, with an additional $3-8 billion required to rebuild power stations, desalination plants and heavy industrial assets
The war has caused energy infrastructures to pay estimated between 34 and 58 billion dollars, according to an estimate of Rystad Energy cited by CNBC. More than 80 energy installations have been attacked since the beginning of the war, Fatih Birol, the Executive Director of the International Energy Agency. More than one third of these are serious accidents, said the Bureau. Iran has attacked the oil and gas infrastructure of its neighbours in th…
Coverage Details
Bias Distribution
- 50% of the sources are Center, 50% of the sources lean Right
Factuality
To view factuality data please Upgrade to Premium
