Page 9 - MEOG Week 43 2022

MEOG PROJECTS & COMPANIES MEOG

QatarEnergy names Shell as second

foreign partner in NFS project

QATAR QATARENERGY has named Shell (UK) as its energy transition as well as fair and equitable
second foreign partner in the North Field South access to cleaner energy,” he commented.
(NFS) expansion project, which aims to lift Van Beurden also hailed the signing of the
Qatar’s LNG exports by 16mn tonnes per year deal. “I am delighted that Shell’s strategic part-
(tpy) by increasing output at the offshore North nership with QatarEnergy is further deepened
field. through our participation in the North Field
The two companies formalised the deal on South project,” he said. “LNG has a key role
October 23 at a ceremony in Doha. Saad Sherida in ensuring energy system reliability and our
Al-Kaabi, QatarEnergy’s president and CEO, and investments with QatarEnergy will support the
Ben van Beurden, Shell’s outgoing CEO, signed energy transition and energy security, two of the
the agreement on behalf of their companies. most fundamental challenges the world faces
The document gives the multi-national a today.”
9.375% working interest in NFS, according to a NFS is the second phase of an ongoing effort
statement from QatarEnergy. to boost production at North, the Qatari section
This leaves only 6.25% of total equity in the of a massive offshore gas field in the Persian Gulf.
project available for assignment to other foreign The Iranian section, which lies on the other side
partners, since the Qatari operator will retain a of the maritime boundary between the two
majority 75% stake. countries, is known as South Pars.
The Qatari company has not named any other It will involve the installation of five new pro-
prospective partners. It selected TotalEnergies duction platforms, the drilling of 50 new wells
(France) as its first foreign partner for the project and the laying of new pipelines to link the field to
in late September. onshore facilities. The pipelines will bring gas to
Al-Kaabi, who also serves as Qatar’s Minister two new LNG production trains with a capacity
of State for Energy Affairs, said Shell’s inclusion of 8mn tpy each.
in the NFS project was a positive development Shell also has a 25% stake in the first phase
for multiple reasons. of the expansion programme, which is known
“The new LNG volumes [that] Qatar will as North Field East (NFE). (The other foreign
bring to the market come at a time when natural partners are ConocoPhillips of the US, Eni of
gas assumes greater importance in light of recent Italy, ExxonMobil of the US and TotalEnergies
geopolitical turmoil and amidst the dire need of France.) Together, the NFS and NFE schemes
for cleaner energy to meet global environmental aim to boost gas production at North so as to
objectives. These volumes are a welcome addi- bring Qatar’s LNG production capacity up to
tion given the increasing global concern, not just 126mn tpy, a rise of 48mn tpy, or 61.5%, on cur-
over energy security but also over a pragmatic rent levels of 78mn tpy.™

Week 43 26•October•2022 www. NEWSBASE .com P9