Kilambi News
Tuesday, October 20, 2026

Qatar offers Lebanon power plants and 20 years of gas

Commodities Tuesday, October 20, 2026 - Updated Oct 20, 2026 07:27

Qatar has offered to build two 825 megawatt gas fired power plants in Lebanon within three years and supply them under a 20 year contract, with gas delivered by a floating regasification unit and through the Arab Gas Pipeline via Syria, a draft program seen by Reuters shows.

Why it matters: The offer would rebuild a national grid whose state utility supplies only a few hours of power a day, but it depends on Qatari LNG that is currently producing at what its own chief executive calls a very minute volume, with Hormuz flows more than 75 percent below pre war levels.

Data as of Draft National Integrated Energy Investment Program as seen by Reuters and reported by OilPrice.com on October 19, 2026, read in full. Single-sourced: OilPrice.com reporting a Reuters seen draft document; payment obligations and guarantees remain open for negotiation in the draft.

Qatar is offering to take over Lebanon’s power supply problem at no upfront cost to Beirut. A draft program seen by Reuters has Qatar building two gas fired power plants within three years, with QatarEnergy supplying the gas under a 20 year LNG contract and private financing in place of Lebanese public money. The document leaves payment obligations and guarantees open for negotiation.

The National Integrated Energy Investment Program includes two 825 megawatt combined cycle plants, one at Deir Ammar in the north and one at Zahrani in the south. QatarEnergy would deliver gas through a floating storage and regasification unit with capacity of 3.5 million cubic meters a day, and through the Arab Gas Pipeline via Syria at 4.5 million cubic meters a day. The plan adds 800 megawatts of solar, 440 megawatts of wind, battery storage and 300 megawatts of power imports from Syria over two routes. A person familiar with the plan told Reuters the build out could take three years if both governments approve it quickly. Prime Minister Nawaf Salam said on Friday that Qatar would finance, run and operate the project, and that QatarEnergy and TotalEnergies would jointly develop a solar plant as the first stage.

The need is not in doubt. Lebanon’s state utility, Electricite du Liban, supplies only a few hours of power a day, private diesel generators provided about half of the country’s electricity at the start of 2026, and the economy is expected to shrink by 6 to 7 percent this year. The program would also extend Qatar’s power business in Syria, where a consortium led by Qatar’s UCC Holding signed concessions in November 2025 for 5,000 megawatts of generation.

The constraint is the gas itself. An Iranian missile strike on Ras Laffan on March 18 knocked out two of Qatar’s 14 LNG trains, QatarEnergy’s chief executive Saad al-Kaabi said last month that Qatar was producing a “very minute” volume of LNG, flows through Hormuz remain more than 75 percent below pre war levels, and QatarEnergy has extended its force majeure on deliveries every month since early March. The offer is therefore a claim on post war Qatari supply as much as a power plan: on Monday, a Qatari cargo loaded in August was sailing through the Red Sea and the Suez Canal toward Poland, a rare use of the shortest route to Europe.

Sources

  1. Qatar Offers Lebanon 2 Gas Plants and 20 Years of LNG Piped Through Syria - OilPrice.com - 2026-10-19