Qatar’s North Field East (NFE) expansion has entered a crucial phase with QatarEnergy beginning to announce its partners to deliver the single largest project in the history of the global LNG industry.
QatarEnergy has already selected TotalEnergies as its first international partner in the $28.75bn North Field East (NFE) expansion project.
More partners are slated to join the NFE Project soon as final terms have been agreed upon said HE the Minister of State for Energy Affairs Saad bin Sherida al-Kaabi. He said the relevant announcements will be made soon.
A highlight of the partner selection process is that QatarEnergy received offers for double the equity available. This, minister HE al-Kaabi noted, “Underscores the high quality investment case of the NFE project thanks to its economic competitiveness, financial resilience, and also its unique environmental features.”
The announcement of TotalEnergies as its first international partner in the North Field East expansion project comes at the conclusion of a competitive process that started in 2019 to select QatarEnergy’s international partners in the NFE project.
NFE will expand Qatar’s LNG export capacity from the current 77mn tonnes per year (MTPY) to 110MTPY (in the first phase).
The North Field Expansion plan includes six LNG trains that will ramp up Qatar’s liquefaction capacity from 77mn tonnes per year to 126mtpy by 2027.
Four trains will be part of the North Field East (NFE) and two trains will be part of North Field South (NFS) project.
The NFE project, which is expected to start production before end-2025, employs the highest health, safety, and environmental standards, including carbon capture and sequestration, to reduce the project’s overall carbon footprint to the lowest levels possible.
Already QatarEnergy has embarked on the largest LNG shipbuilding programme as part of the North Field Expansion project.
“We have awarded a series of key offshore and onshore EPC contracts that are crucial for its timely execution,” al-Kaabi noted recently.
He said QatarEnergy will be working with its reliable business partners from China and Japan in the shipbuilding programme.
In April, QatarEnergy signed a series of time-charter parties (TCPs) with a subsidiary of Mitsui O.S.K Lines (MOL) for the long-term charter and operation of four LNG ships, constituting the first batch of TCPs awarded under QatarEnergy’s massive LNG shipping programme.
Concurrent with the signing of the TCPs, back-to-back LNG carrier shipbuilding contracts were signed between MOL and Hudong-Zhonghua Shipbuilding Group (Hudong), a subsidiary of China State Shipbuilding Corporation (CSSC), for the construction of four new LNG carriers to serve QatarEnergy’s LNG growth projects and future fleet requirements.
As minister al-Kaabi put it, “QatarEnergy is standing at the threshold of a new era with a stronger commitment to energy transition and to the safe, reliable, and trustworthy access to cleaner energy. We will continue to power lives in every corner of the world for a better tomorrow for all. This is our commitment.”
Clearly, the North Field East project is an iconic achievement that will not only ensure the optimal utilisation of Qatar’s natural resources but will also provide the world with the cleaner and more reliable energy it needs.
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