Qatar - Oil &Gas Field Machinery EquipmentQatar - Oil & Gas Machinery Equipment
Overview
The State of Qatar is the second largest global exporter of LNG after Australia. The country's exports of LNG, crude oil, and petroleum products contribute the majority of revenue to government coffers. Despite the government’s concerted diversification efforts, Qatar's earnings from its hydrocarbons sector still account for more than 50% of the country's total government revenues.
Qatar holds the third largest proven reserve of natural gas in the world after Russia and Iran. Qatar has existing reserves of approximately 25 billion barrels of crude oil and 23.7 trillion cubic meters of natural gas. It is also one of the world’s major fertilizer producers and top 15 oil exporting countries. State-owned Qatar Petroleum (QP) oversees the oil, gas, fertilizer, petrochemicals and refining operations in the country and has multi-billion interests abroad. QP has developed the sector through key partnerships with international companies, promoting the transfer of knowledge as many foreign companies have invested in Qatar’s oil and gas sector specifically to purchase the natural gas or oil developed from these projects.
Qatar’s natural gas production costs are among the lowest in the world, enabling a cost-effective, LNG and GTL Gas-To-Liquid (GTL) technology. The Pearl GTL plant is the world’s largest facility which produces 140,000 b/d and is notable as the first to integrate upstream natural gas production with the downstream conversion facility.
In May 2017, the 12-year moratorium on further developing the North Field was lifted. The North Field expansion project will have 4 mega LNG trains to increase its production by 43% from 77.1 million tons per year (mtpa) to 110 mtpa by 2024. The country is also planning to build a Petrochemical Complex that will have ethane capacity of 1.6 mtpa. Qatar’s crude oil refining capacity is approximately 393.7 billion per day (b/d) and it is expected to increase to 484.7 b/d in the next 3 years.
The ongoing land and air blockade imposed on Qatar in June 2017 by Saudi Arabia, UAE, Bahrain and Egypt has not interrupted LNG gas supply to UAE through the Dolphin sub-sea pipeline which provides 40% of UAE’s power generation.
Qatar Petroleum, with international partners, continues to invest heavily and broaden its exploration and discovery portfolio in South Africa, Cyprus, Morocco, Mozambique, Brazil, including making a $10 billion investment in the Golden Pass terminal in the United States.
Sub-Sector Best Prospects
- Oil & Gas Field Machinery, Equipment and Supplies
- Oil & Gas Field Services
Opportunities
Qatar is poised to increase its LNG capacity and diversify products, projecting high growth in the coming years. QPs focus on major contracts for the North Field expansion along with the upcoming development of the Petrochemical complex/ethane cracker are likely to be key drivers of business activities in the energy sector.
Web Resources
Contact the Commercial Section of the U.S. Embassy