QatarEnergy halts aluminium, chemicals production amid West Asia crisis | World News

QatarEnergy halted the production of aluminum and some chemicals as it grappled with the consequences of Iranian attacks that forced the shutdown of its major liquefied natural gas plant.  

Aluminum prices rallied as much as 3.8 per cent on the London Metal Exchange after the announcement. QatarEnergy holds a 50 per cent stake in Qatalum, a major regional producer of the metal alongside joint-venture partner Norsk Hydro ASA. 

Hydro had said on Monday that it was was weighing contingencies to avoid disruptions to deliveries. The flow of raw material supplies and refined metals has been affected by the virtual halt of shipping through the Strait of Hormuz as a result of the Middle East conflict.

QatarEnergy will also stop making downstream products including urea, polymers and methanol, according to a statement on Tuesday. 

Qatar’s major LNG export facility, which is the largest in the world and accounts for about a fifth of global supply, shut down on Monday after being targeted by Iran’s drones.