Offshore Energy · March 25, 2026 (18h ago) · 1 min read

$25 billion price tag looms over Gulf energy infrastructure repairs, Rystad says

Analysis

OilCyprus Editorial

Rystad Energy estimates that the military conflict between the U.S.-Israel alliance and Iran could result in $25 billion in repairs to energy infrastructure in the Middle East, including LNG assets, refineries, and fuel terminals. This potential damage and associated shutdowns would significantly disrupt energy supply and increase costs.

Key Facts

Rystad Energy estimates $25 billion in repair costs.
Damage impacts LNG assets, refineries, fuel terminals, and gas-to-liquids facilities.
The conflict is between the U.S.-Israel alliance and Iran.

Market Impact

The potential damage to critical energy infrastructure in the Middle East could lead to significant disruptions in global energy supply chains. This could result in higher energy prices, increased volatility in energy markets, and potential shortages, particularly for LNG and refined products. Companies operating in the region will face increased risks and potential operational challenges.

Why This Matters for Cyprus

This potential disruption and cost increase could significantly impact energy companies' bottom lines and global energy security, requiring them to reassess risk management strategies and supply chain resilience.

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