Introduction 2 - Edison expects to receive two-thirds of its contracted Qatari gas supplies
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By Francesca Landetti
MILAN, May 8 (Reuters) - Italian energy company Edison, a European customer of Qatar, expects Qatar to be able to supply about two-thirds of its contracted liquefied natural gas (LNG) volumes following any peace agreement between the United States and Iran, Chief Executive Nicola Monti said on Friday.
Monti, speaking at an event in Milan, added that supplies are expected to resume within 30 to 45 days of the agreement being reached.
Qatar declared force majeure on its long-term contract with Edison this year, and has so far cancelled 12 shipments of liquefied natural gas that were due to be delivered to Italy between April and early July.
Monty said, "If a permanent peace agreement can be reached by tomorrow morning, I think that within a month or a month and a half, producers in the Gulf region may be able to resume energy production... As for Qatar, we expect that after a month or a month and a half, it will resume supplies of liquefied natural gas, but in smaller quantities than before."
Saad al-Kaabi, Qatar's chief executive of energy and state minister for energy affairs, told Reuters in March that Iranian attacks had disrupted 17 percent of Qatar's liquefied natural gas export capacity.
Two of Qatar Energy’s 14 liquefaction units suffered serious damage, one of them within the joint venture that supplies Edison, which has a long-term contract for 6.4 billion cubic meters of gas annually, or 10 percent of Italy’s annual gas consumption.
Monty told Reuters that Qatar Energy kept some production at a minimum by exporting liquefied natural gas to Kuwait, which allowed it to resume deliveries outside the Gulf very quickly.
Two sources familiar with the matter told Reuters last month that Italy will begin receiving liquefied natural gas from the Golden Pass facility in the United States, a joint venture between Qatar Energy and ExxonMobil, starting in June.
