(MENAFN- Gulf Times)
Qatar's liquefied natural gas (LNG) exports to Europe should be 'significant' in the next five to seven years, according to HE the Minister of State for Energy Affairs Saad Sherida al-Kaabi.
In an interview to the Energy Intelligence, he highlighted that production from the Golden Pass LNG project in the US, where QatarEnergy partners with Exxon Mobil, is due on stream in 2024 and is 'already earmarked for Europe.”
'There is not much Qatar can do to alleviate Europe's gas crisis in the short term due to contractual commitments, but further out, in five to seven years, new Qatari LNG exports to Europe should be significant,' he said.
'I think 10-15-year deals are probably what are most acceptable to both sides. But for us, the long-term deal, it's not just about duration, it's about price,” he said with regard to contract durations with the prospective customers.
On attracting foreign investors to the country's North Field expansion, he said an investment in Qatar is really an important downside-risk revenue maker” for partners.
The $29bn North Field East (NFE) expansion, the single largest project in the history of global LNG industry, has seen QatarEnergy joining hands with four global energy companies – TotalEnergies, ExxonMobil, Eni and ConocoPhillips.
The four partners of QatarEnergy in the prestigious project were chosen through a competitive process that started in 2019, which will expand Qatar's LNG export capacity from the current 77mn tonnes per year (tpy) to 110mn tpy by 2026.
The multi-billion dollar North Field expansion, the largest LNG development in global history, will generate substantial revenues for Qatar and hugely contribute to the country's GDP, al-Kaabi noted.
'From an overall value chain, Qatari LNG will be the least carbon footprint LNG you can get,” he said, adding 'we think that our buyers, and our investors that have joined us in [North Field East expansion], see this as the Rolls-Royce of projects', he told the Energy Intelligence.
QatarEnergy had last year unveiled its Sustainability Strategy, which establishes several targets in line with the goals of the Paris Agreement. It mandates the deployment of Carbon Capture and Storage facilities to capture more than 7mn tonnes of carbon dioxide per annum in Qatar.
The strategy also sets a direction towards cutting down the emissions intensity of the country's LNG facilities by 25% and of its upstream facilities by at least 15%, while also reducing flare intensity across upstream facilities by over 75%.
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.