Qatar set to begin first phase of LNG production following major global partnerships
20 Jul 2022News
Analysts say the project is expected to generate revenue of $40 billion upon the completion of the first part by 2025.
Qatar can now implement the first phase of the North Field Expansion project after announcing all project partners at the North Field East (NFE), the Gulf state’s news agency (QNA) reported on Tuesday.
Experts told QNA that the agreements QatarEnergy reached with the previous companies for the first phase paves the way for the announcement of companies for the second phase by 2023.
Qatar sells crude at highest premiums in four months as per reports.
Under the first phase, Qatar is raising its production of liquified natural gas (LNG) from 77 million tonnes to 110 million tonnes by 2025, representing a 43% increase. The second part of the project, the biggest of its kind, will ramp up Qatar’s LNG production to 126 million tonnes by 2027.
QatarEnergy concluded the signing of contracts with five global companies for the $28.75 billion NFE project. The companies include Shell, ExxonMobil, ConocoPhillips, Eni, and TotalEnergies – the first to be announced.
QatarEnergy began looking into potential partners in 2019, with production expected to start before the end of 2025.
Source: Doha News