Rapid developments in the Middle East over the past month have raised hopes for finding a solution for the Yemen crisis which has led to one of the worst human disasters since 2015.
Rapid developments in the Middle East over the past month have raised hopes for finding a solution for the Yemen crisis which has led to one of the worst human disasters since 2015.
For eight years, the civil war between Iran-backed Houthis and Saudi-backed government has paralyzed the country’s entire economic and social structures. But now, with the agreement between Iran and Saudi Arabia to normalize relations and help to deescalate regional conflicts, there are signs of solving this crisis.
Iran and Saudi Arabia have recently agreed to restore their ties after more than seven years under a China-brokered deal which could facilitate the peace efforts in Yemen.
Reuters reported that Saudi delegations plan to visit Houthis-controlled Yemen's capital Sanaa next week to negotiate a permanent ceasefire deal with the movement’s officials in a bid to end the bloodshed conflict that has killed tens of thousands and left 80% of Yemen's population dependent on humanitarian aid.
As the country’s largest industrial project, Yeman LNG is one of the most important assets that should be re-started as soon as possible while the poor people of Yemen are currently in dire need of generating income to meet their needs.
Fortunately, during the civil war Yemen LNG facilities have been put in preservation mode and there is no documented report about major technical damage on them. In a normal situation, the plant and its connection feedgas pipeline could be operational within a one year, according to the Global LNG Info’s assessment.
Shareholders of the 6.7 MMT/Y Yemen LNG plant are TotalEnergies (operator) 39.62%, Hunt Oil 17.22%, Yemen Gas 16.73%, SK Energy 9.55%, Kogas 8.88%, Yemen’s Authority for Social Security and Pension 5.00%, and Hyundai 3.00%, according to the
Global LNG Database®.
Yemen LNG’s term offtakers are Kogas 2 MMT/Y and TotalEnergies 4.5 MMT/Y (after taking over Engie’s LNG assets in 2017), according to the
Global LNG Contracts Database.
Last year, TotalEnergies’ CEO Patrick Pouyanne had said that the French operator could re-start its Yemen LNG plant depend on improved security.
Reviving of Yemen and Mozambique LNG projects could replace part of the company’s revenues lost from its exit from Russia.
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