Qatar Petroleum has announced plans to develop an export-oriented gas project in the North Field, with a capacity of about 2bn cubic feet a day.
A project of this size will increase the current production of the North Field by about 10% and add about 400,000barrels per day (bpd) of oil equivalent (bpdoe) to Qatar’s production, Qatar Petroleum President & CEO Saad Sherida al-Kaabi told journalists on Monday.
He said, “QP will commence work on the project’s details over the next few months.”
The new project, which is unnamed, will be located on the “southern sector of the North Field”.
“Our technical studies and assessment of the North Field have confirmed the potential for developing a new gas project,” al-Kaabi said.
He said the new gas project in North Field would strengthen Qatar’s position as a major player in the global gas industry.
The new production from the North Field, which is the largest non-associated natural gas field in the world, was expected within five to seven years; al-Kaabi said and noted that Qatar Petroleum has not decided if exports will be in the form of LNG, GTL or pipeline gas.
"Since 2005, Qatar Petroleum has been conducting extensive studies and exerting exceptional efforts to assess the North Field, including drilling a number of appraisal wells to better estimate the field’s production potential, which enabled us to reach this satisfactory result today."
Al-Kaabi said, "This new project will further strengthen Qatar's leading position as a major player in the global gas industry and underline the pivotal role of the country's oil and gas industry as the mainstay of the national economy. This, in turn, will contribute to and stimulate the economy in both the public and private sectors as part of the comprehensive development of the country and the achievement of the objectives of Qatar National Vision 2030.
"On this occasion, I am honoured to extend my thanks and gratitude to HH the Emir Sheikh Tamim bin Hamad al-Thani for his unlimited support to Qatar’s oil and gas industry, his vision and guidance, which provide the greatest support for us to accomplish our various achievements."
Asked whether the proposed move for a “buyers’ club” by Asian buyers to better negotiate long-term contracts will change the market dynamics, he said, “For us, we want to be one of the lowest cost producers of gas. For us, buyers organising themselves is their business. Whatever the markets put in front of us, we are ready to live with it. We will deal with any kind of situation…we will adapt to it.
“There may be consortium of buyers (in Asia). For us, we can ensure that we remain the lowest cost producer in the market. It should be noted that investments are getting more expensive now. Not many investments are being made due to low oil prices. The market is cyclical – today it may be buyers’ market, but tomorrow it will be sellers’ market.
"Securing long-term contracts is important for us. But I am confident about the future of LNG. We are one of the lowest cost producers and will remain as the dominant force for LNG in the world for a long time and this basically solidifies that position.”
He said, “QP will commence work on the project’s details over the next few months.”
The new project, which is unnamed, will be located on the “southern sector of the North Field”.
“Our technical studies and assessment of the North Field have confirmed the potential for developing a new gas project,” al-Kaabi said.
He said the new gas project in North Field would strengthen Qatar’s position as a major player in the global gas industry.
The new production from the North Field, which is the largest non-associated natural gas field in the world, was expected within five to seven years; al-Kaabi said and noted that Qatar Petroleum has not decided if exports will be in the form of LNG, GTL or pipeline gas.
"Since 2005, Qatar Petroleum has been conducting extensive studies and exerting exceptional efforts to assess the North Field, including drilling a number of appraisal wells to better estimate the field’s production potential, which enabled us to reach this satisfactory result today."
Al-Kaabi said, "This new project will further strengthen Qatar's leading position as a major player in the global gas industry and underline the pivotal role of the country's oil and gas industry as the mainstay of the national economy. This, in turn, will contribute to and stimulate the economy in both the public and private sectors as part of the comprehensive development of the country and the achievement of the objectives of Qatar National Vision 2030.
"On this occasion, I am honoured to extend my thanks and gratitude to HH the Emir Sheikh Tamim bin Hamad al-Thani for his unlimited support to Qatar’s oil and gas industry, his vision and guidance, which provide the greatest support for us to accomplish our various achievements."
Asked whether the proposed move for a “buyers’ club” by Asian buyers to better negotiate long-term contracts will change the market dynamics, he said, “For us, we want to be one of the lowest cost producers of gas. For us, buyers organising themselves is their business. Whatever the markets put in front of us, we are ready to live with it. We will deal with any kind of situation…we will adapt to it.
“There may be consortium of buyers (in Asia). For us, we can ensure that we remain the lowest cost producer in the market. It should be noted that investments are getting more expensive now. Not many investments are being made due to low oil prices. The market is cyclical – today it may be buyers’ market, but tomorrow it will be sellers’ market.
"Securing long-term contracts is important for us. But I am confident about the future of LNG. We are one of the lowest cost producers and will remain as the dominant force for LNG in the world for a long time and this basically solidifies that position.”
