Energy
From The Report: Qatar 2014
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Oil and gas accounted for around 51.5% of Qatar’s economic output in 2013, and investments in upstream and downstream capacity are set to ensure future growth. Qatar is working with international partners to build three new petrochemicals facilities, which will help to expand domestic output. Further, the government is also investing in research and development programmes, as well as looking abroad. QP International leads global investments, and the state has also announced the formation of Nebras, a $1bn fund to invest in electricity and water projects overseas, which will be managed by the Qatar Electricity and Water Company. Qatar is also looking to the possibility of reforming the sector in a bid to strengthen QP and to expand globally, developments that are likely to secure Qatar’s energy industry moving forward.
This chapter contains interviews with Mohamed bin Saleh Al Sada, Minister of Energy and Industry; Sheikh Khalid bin Khalifa Al Thani, CEO, Qatargas; Hamad Rashid Al Mohannadi, CEO, RasGas; and Wael Sawan, Managing Director and Chairman, Qatar Shell Companies.

Articles from this Chapter

Overview

Top performer: Investments in upstream and downstream capacity are set to ensure future growth
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Powering the country’s thriving economy, the energy sector has made Qatar one of the richest countries in the world with a gross national income per capita of more than $90,000, according to the World Bank. The country invested heavily in developing its natural gas reserves and building infrastructure to export leading quantities of liquefied natural gas (LNG) in the early 1990s, propelling it to become the largest supplier of LNG globally. GDP & Population Growth Qatar holds the world’s…

Analysis

Under construction: Raising capital to invest in evolving petrochemicals and downstream production industries
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The petrochemicals industry has come a long way, building from virtually no base to exporting about 10m tonnes of chemicals, polymers and fertilisers per annum, according to the Qatar Chemical and Petrochemical Marketing and Distribution Company (Muntajat). In the past two years stakeholders have announced several major investments. In May 2013 Qatar Petroleum (QP) and RasGas ( jointly owned by QP and ExxonMobil) signed a joint venture to build Ras Laffan 2, which is set to double RasGas’s production…

Interview

OBG talks to Mohamed bin Saleh Al Sada, Minister of Energy and Industry
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Interview:Mohamed bin Saleh Al Sada What developments can be expected for new exploration and production sharing agreements (EPSAs), and what is your outlook for future exploration? MOHAMED BIN SALEH AL SADA: Our existing exploration campaigns with our partners under current EPSA arrangements are progressing well. We have a good exploration plan that is developing smoothly, and we are continuing to evaluate the potential for hydrocarbons in various areas and geological regions of the country.…

Interview

OBG talks to Sheikh Khalid bin Khalifa Al Thani, CEO, Qatargas
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Interview:Sheikh Khalid bin Khalifa Al Thani How important is liquefied natural gas (LNG) to the long-term sustainability of both the energy industry in Qatar and the state’s economy as a whole? SHEIKH KHALID BIN KHALIFA AL THANI: LNG is the number one contributor to Qatar’s GDP. Qatargas has an LNG capacity of 42m metric tonnes per annum; combined with RasGas it supplies a total of 78m metric tonnes a year. As a result of global demand, Qatargas is now the number one supplier and producer…

Analysis

More than hot air: Industrial gases such as helium and carbon dioxide are set to expand downstream opportunities
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Qatar’s oil and gas exports are by far the country’s most valuable. In November 2013 alone petroleum gases and petroleum oils were worth QR33.9bn ($9.3bn), making up 86.5% of exports by value for that month, according to data from the Ministry of Development Planning and Statistics. While the country’s hydrocarbons are an important source of revenue for the time being, the authorities are aware that relying on oil and gas is not a sustainable economic model. Rather than run away from energy…

Interview

OBG talks to Hamad Rashid Al Mohannadi, CEO, RasGas
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Interview:Hamad Rashid Al Mohannadi How have recent shifts in supply and demand on the international gas market impacted the Qatari market for liquefied natural gas (LNG)? HAMAD RASHID AL MOHANNADI: RasGas’ strategic vision, since its inception in 1993, has enabled it to become a major LNG supplier to the world. We took a long-term decision to provide cleaner energy in the form of LNG worldwide at a time when there was still a lot of scepticism about whether LNG could be a commercially…

Interview

OBG talks to Wael Sawan, Managing Director and Chairman, Qatar Shell Companies
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Interview:Wael Sawan How has the disassociation of gas and oil prices impacted the expansion of the gas-to-liquids (GTL) industry? Do you anticipate this trend continuing? WAELSAWAN: Specifically, the disassociation in the US between The Henry Hub and oil prices is predominantly what is now helping the GTL industry to expand. Because of the low gas prices, more and more of the major resource holders who have plentiful gas supplies and are able to convert that gas economically into a liquid-based…

Analysis

Enabling growth: Looking overseas to invest in the oil, gas and power segments
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Qatar’s self-imposed moratorium on expanding production from the North Field has spurred Qatar Petroleum (QP) to invest in strategic partnerships abroad in order to maintain its global market share. Qatar Petroleum International (QPI) is QP’s wholly owned primary vehicle for foreign investments in the energy sector. QPI was established in 2006 with a mission of making “strategic commercial investments across the energy value chain around the world”, according to QPI’s website. This mission…

Analysis

Value added: Increasing the output of petroleum products
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Having steadily invested in developing a growing industry of downstream petroleum products, the country has created an industrial base that adds value to the significant hydrocarbons output that is a core part of the country’s strategy to diversify the economy and to drive growth. Qatar Petroleum (QP) oversees or has played a role in almost all petroleum products developed in the country and has helped build a significant portfolio of refined petroleum, petrochemical, chemical and fertiliser products.…

Analysis

In demand: Boosting energy-related skills and research and development
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The global energy industry is thriving with growing demand for power and a host of downstream products that depend on output in the oil and gas sector. In addition to established markets in Europe and North America, growing economies in Asia are driving tremendous demand for energy supplies. This has in turn increased the demand for a skilled workforce within the industry. Many reports suggest that the supply of labour will be a critical bottleneck going forward, which will raise the cost of hiring…

Analysis

Liquid assets: An ideal location for a gas-to-liquids industry
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Abundant supplies of natural gas and strong links to global supply chains for downstream products have enabled the presence of a growing gas-to-liquids (GTL) industry. GTL, first developed on an industrial scale in South Africa in the 1970s, is a process of creating diesel and gasoline products using natural gas as feedstock. There are two basic processes: low-temperature processes that produce diesel and high-temperature processes that make gasoline. Oryx GTL Facility In 2002, Sasol, an international…

Analysis

New customers: The sector is increasingly seeking to diversify its markets
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By asserting itself as one of the world’s largest exporters of gas, Qatar continues to play a vital role in global energy supply and security. One of the most important factors for the country over the coming years will be how it maintains this position and navigates a complex and highly politicised international gas market. Leading Player Qatar’s proven gas reserves of 890trn cu feet ranked third in the world, behind only Russia and Iran. Most of this is in the North Field, part of the world’s…