Qatar for oil, Shell company sign a gas deal
Qatar, Business, 2/24/2005

Qatar Company For Oil and Royal Dutch Shell oil company are expected to sign a deal at a cost of $ 8 billion next Sunday in order to provide the US with natural liquid gas.

News reports quoted sources at the oil industry as saying that the project includes the establishment of a unit for liquid gas production at a capacity of 7.5 million tons annually.

Shell had discovered a "North" gas field in Qatar during the 1970s. The said field contains a gas reserves estimated at 900 trillion cubic meters.

So far Shell was obliged to spending $ 6 billion on the project to transfer the Qatari gas to liquid fuel in a project which is expected to start production in 2008- 2009. The project which is called Qatar Gas 4 works to enable Qatar company for oil achieving its objective to become the largest producer for liquid natural gas in the world by the fall of 2011 and also enhances Shell's position as its main exporter for it in the private sector.

The new project will also help Shell to increase its confirmed reserves after it was obliged to amend it by reduction in 2004, as it had announced it overstated the estimation of reserves in many of its giant projects.

Previous Stories:
  Qatar Company For Oil and Exxon Mobile sign a deal at $ 12 billion   (12/16/2004)
  Shell invests in billions of dollars in the Qatari gas   (12/7/2004)
  Qatar airways services Casablanca   (4/3/2002)

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