Qatar Petroleum and ExxonMobil Chemical Qatar Limited have signed a ‘heads of agreement’ (HOA) to progress studies for a $3 billion petrochemical complex in Ras Laffan Industrial City.
The announcement was made by Abdullah Bin Hamad Al-Attiyah, Qatar’s Minister of Energy and Industry, and Michael J. Dolan, president, ExxonMobil Chemical Company, at a signing ceremony Doha.
“The State of Qatar has embarked on ambitious programs to utilise and develop its hydrocarbon resources.
These programs are part of the vision of HH Sheikh Hamad Bin Khalifa Al-Thani, the Emir, that aims to ensure efficient utilization and optimisation of the country’s resources via oil and gas developments and, through diversifying its sources of income creating development opportunities for Qatar and its people,” said Al Attiyah.
“ExxonMobil Chemical is pleased with the significant progress we have made together with Qatar Petroleum on the feasibility study for this important project,” added Dolan.
“We believe this proposed project will capitalise on our core competencies, to bring significant benefits to both parties and establish a competitively advantaged platform for growth.”
The proposed petrochemical complex includes a 1.3 MTA steam cracker and associated derivative units, including polyethylene and ethylene glycol, and will employ ExxonMobil’s proprietary steam cracking furnace and polyethylene technologies.
It will utilise feedstock from gas development projects in Qatar’s North Field and serve markets in Asia and Europe. Startup of the facility is set for 2012.
The Ras Laffan project continues to take shape in other ways. Qatar Petroleum recently awarded Qatar Gas Transport Company Ltd.
(QGTC) a 22-year service contract for harbour towages and mooring services for Ras Laffan Port.
The value of the contract is over QR 1.5 billion, according to QGTC.
To help it deliver the services required under the contract, the company has signed a joint venture agreement with Svitzer Middle East Limited, a member of the A.P. Møller group of Denmark.
The joint venture will provide the harbour towages and mooring services specified under the contact.
Muhammad Ghannam, Qatar Gas Transport Company’s managing director, said: “QGTC will continue to seek excellent business opportunities to enhance returns to our shareholders.”For all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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