Page 4 - MEOG Week 01 2021

MEOG COMMENTARY MEOG

QatarEnergy takes

over at Qatargas,

hands out EPCI work

The company has awarded work worth billions of dollars that will enable significant
expansion of gas production as it seeks to reclaim the top spot in LNG exports.

QATAR QATARENERGY this week awarded an engi- for NFE and five for NFS, as well as connecting
neering, procurement, construction and instal- pipelines and the shore approaches for the NFE
lation (EPCI) contract to US-based contractor pipelines, beach valve stations and buildings.
WHAT: McDermott International for the offshore scope It added that the jackets and the pipelines
McDermott won EPCI of its North Field Expansion project. for the NFS project will be subject to a separate
work covering the The nearly $30bn project will expand Qatar’s tender that is expected to be awarded during the
offshore scope of the liquefaction capacity from 79mn tonnes per first half of the year. The total value of the work
North Field Expansion year currently to 110mn tpy by 2025 or 2026 awarded to McDermott is thought to be valued
project. under North Field East (NFE), with the addition at $3-4bn.
of North Field South (NFS) raising capacity to Minister of State for Energy Affairs and
WHY: 126mn tpy by 2027. It is the world’s single largest QatarEnergy President and CEO HE Saad
The deal follows billions LNG project. Sherida Al-Kaabi said: “The award of this major
of dollars worth of The award follows billions of dollars of con- EPCI contract is a momentous milestone that
contract awards for work tract awards in 2021 and comes just two days demonstrates QatarEnergy’s commitment to
across the LNG value after the Qatari firm assumed full control over delivering our LNG expansion projects on time
chain in 2021. the Qatargas Liquefied Natural Gas Company and to ensuring the significant additional global
Ltd (Qatargas 1) after Doha declined to renew LNG demand is catered for in a timely manner.”
WHAT NEXT: the joint venture (JV) concession when it expired Qatargas continues to oversee and implement
More than 12mn tonnes on December 31. the project on behalf of QatarEnergy.
per year of long-term gas The award follows that of a 41-month onshore
supply contracts kick Expansion award package to Spain’s Tecnicas Reunidas in August
off this month as Qatar On January 3, QatarEnergy announced that for work to expand liquid products storage and
solidifies already strong McDermott’s contract would cover EPCI loading at Ras Laffan Terminal.
ties with Asian consumer work for the offshore scope of the North Field This includes the construction of liquid prod-
nations. Expansion. ucts rundown lines, lean gas pipeline for gas
This includes 13 “normally unmanned” delivery into QP’s domestic gas grid, the expan-
wellhead platform topsides, eight of which are sion of the Ras Laffan Terminal Operations

P4 www. NEWSBASE .com Week 01 05•January•2022