TotalEnergies Says Middle East Conflict Has Cut 15% of Its Global Oil and Gas Output

French energy company TotalEnergies said ongoing conflict involving the United States, Israel and Iran has forced the shutdown of several operations across the Middle East, reducing about 15 percent of its global oil and gas production.

The company said the disruption affects fields in the United Arab Emirates, Qatar and Iraq, where escalating military tensions and shipping disruptions in the Gulf have prompted operators to suspend or reduce output.

In a statement, the company said the shutdowns represent roughly 10 percent of its upstream cash flow. “Production has been shut down or is in the process of shutting down in Qatar, Iraq and UAE offshore, representing approximately 15 percent of our total output,” TotalEnergies said.

The company operates several key energy assets across the region, including the SATORP Refinery in Saudi Arabia, the Al Shaheen Oil Field and the Halfaya Oil Field.

TotalEnergies said the barrels produced in the Middle East generate a lower share of upstream cash flow than its global average portfolio because of higher taxation in the region. As a result, the loss of 15 percent of production translates to about 10 percent of the company’s upstream operating cash flow.

Despite the disruption, the company said some operations continue to run normally. Activities at the SATORP refinery in Saudi Arabia remain unaffected and continue supplying fuel to the domestic market. Onshore production in the United Arab Emirates, estimated at about 210,000 barrels per day, has also not been impacted by the conflict.

The company noted that the shutdown of liquefied natural gas production in Qatar has had limited impact on its trading operations. Most of the country’s LNG is marketed by QatarEnergy, which handles global sales and distribution.

Looking ahead, TotalEnergies said that most of its production growth expected in 2026 will come from projects outside the Middle East. The company added that higher oil prices could help offset the financial impact of the disruptions.

According to its estimates, an $8 increase in Brent Crude Oil prices would compensate for the cash flow losses expected from its assets in Iraq, offshore UAE and Qatar, assuming a baseline oil price of $60 per barrel.

Earlier this month, TotalEnergies also resumed production at the Mabruk Oil Field in Libya after completing a new production facility designed to restore operations at the site. The field had remained inactive since 2015, and TotalEnergies holds a 37.5 percent stake in the project.

Energy analysts say the disruptions highlight the growing vulnerability of global energy supply chains as geopolitical tensions intensify across the Middle East, a region that remains central to the world’s oil and gas production.