Qatar Petroleum to become sole owner of QG1 LNG project from 2022

Qatar Petroleum has announced that it will become the 100% owner of Qatargas Liquefied Natural Gas (QG1), the holding company of an LNG project in Qatar, effective from 1 January 2022.

OG1 was established in 1984 to produce LNG and related products from Trains 1, 2 and 3. Each of the trains have a production capacity of 3.3 million tonnes per annum (mtpa).

It is jointly owned by Qatar Petroleum (65%), ExxonMobil (10%), Total (10%), Mitsui (7.5%), and Marubeni (7.5%).

Upon the expiry of the relevant agreements on 31 December 2021, Qatar Petroleum will not renew the QG1 joint venture, the firm said.

Qatar Petroleum president and CEO and Qatar Minister of State for Energy Affairs Saad Sherida Al-Kaabi said: “The takeover by Qatar Petroleum will conclude more than 25 years of successful operations of QG1, from which the first ever Qatari LNG cargo was exported.

“This is a momentous event that highlights Qatar Petroleum’s efforts to further enhance the utilisation of our natural resources for the benefit of our country and its current and future generations as well as to continue serving the world’s need for cleaner energy.”

Qatargas, a subsidiary of Qatar Petroleum, is operating seven trains under the QG1, QG2, QG3, and QG4 joint ventures.

On behalf of Qatar Petroleum, QG1 facilities will continue to be operated by Qatargas.

Al-Kaabi said: “This event marks the start of the next chapter in QG1’s history, which we hope and believe will be even more successful than the last chapter, and we look forward to serving our customers for the next three decades from this world-class asset.”

Last month, Qatar Petroleum made final investment decision (FID) for the $28.75bn North Field East project.

The 33mtpa LNG project is expected to increase Qatar’s LNG production capacity to 110mmtpa from 77mmtpa.