Qatar announces huge rise in gas production amid diplomatic crisis

Qatar announces huge rise in gas production amid diplomatic crisis

Qatar announces huge rise in gas production amid diplomatic crisis

Qatar Petroleum plans to increase gas production from its giant North Field, which shares with Iran, 20% after the development of new gas fields, President and Director of QP, despite diplomatic tensions said on Tuesday between Arab State and its Gulf neighbors.

In April Qatar has lifted the ban on self-imposed on the development of the North Field, the largest natural gas reserves in the world, has announced a new project to develop its southern section, which would increase its production within five to seven years.

This new project will increase Qatar’s total LNG production capacity from Qatar from 30 to 100 million tonnes from 77 million tonnes per year, Saad al-Kaabi, CEO of Qatar Petroleum told a news conference in Doha.

Global demand for LNG was 265 million tonnes in 2016, according to the annual LNG perspective Royal Dutch Shell.

“After a further review, it was decided that the best way to develop this massive project is to dedicate the production and export of liquefied natural gas,” said M. Kaabi.

“We decided that the best option would be to double the size of the project to 4 billion cubic feet of gas per day … This project will strengthen our position as a global producer and exporter of LNG.”

QP will build new LNG trains to meet capacity expansion, Kaabi said.

“We will seek international partners to join us,” he said, refusing to say when a bidding was issued.

The announcement comes a day after the French company Total signed an agreement with Iran to develop its share of the South Pars gas field shared offshore Tehran calls.

Kaabi said there was no cooperation with Iran on any project in the North Field, but countries have a joint committee that meets annually to discuss the development of the field.

“We know what [the Iranians] are doing and we know what we are doing,” he said.

Iran, which suffers from a severe shortage of cooking gas, has made a rapid increase in South Pars production a priority.

The agreement on Monday is in full development of its South Pars Phase 11 project, the first major Western energy investment in the country since the lifting of sanctions.

Qatar Gulf, a large future amount of the World Cup with a population of 2.7 million is under sanctions by Saudi Arabia, the United Arab Emirates, Egypt and Bahrain that broke the diplomatic ties and transport with Doha, which accuses to support The terrorism. Qatar denies the charges.

The four Arab states meet Wednesday to discuss how to end the crisis or other sanctions in Qatar, which could include asking business partners to choose a side in the Gulf fault.

Kaabi said the company’s operations would not be affected by the crisis.

“Qatar Petroleum will continue to work … If some companies decide they do not want to work with QP, it is their choice. We will find other foreign companies to work for,” he said ….

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