QatarEnergy returns to the diesel spot market for the first time in eight months

Qatari diesel is back on the spot market after an eight-month gap. Qatar Energy is offering up to 54k tons of gasoil and gas-to-liquids (GTL) diesel for loading at Ras Laffan between 22 and 29 November, Reuters reports, citing a tender document. QatarEnergy normally sells these products through monthly spot tenders. Its last one, in late February, was a single GTL diesel cargo for loading in mid-March. The new offer closed on 3 November. It covers 14k tons of 2.5k ppm sulfur gasoil and up to 40k tons of GTL diesel, which buyers can load as one cargo.

Buyers still carry the shipping risk through Hormuz: The cargo is sold freeon board at Ras Laffan, inside the Gulf, so buyers arrange their own shipping through the strait. Shell has said its ability to ship products from its Pearl GTL plant depends on regional security, including safe passage through Hormuz. Middle East diesel and gasoline shipments were running at 58% of prewar volumes in early October, JPMorgan analysts estimated, as we reported.

The tender follows Shell’s partial restart of Pearl GTL: Shell partially restarted Pearl, the world’s largest GTL plant, in early October. That came six months after one of its two trains was damaged in March. QatarEnergy has since resumed some contracted naphtha deliveries and offered up to 50k tons of naphtha, including Pearl GTL grade, on the spot market. Repairs to Train 2 are expected to finish in 1Q 2027, bringing Pearl back to its full capacity of 140k boe/d, a Shell spokesperson said.