Qatar and Dubai in talks over gas pipeline

Talks are underway between Qatar and the Emirate of Dubai on the construction of a $1billion gas pipeline, a Qatari oil official said yesterday at an international gas conference held in Dubai.

The 22mn cu m (800mn cu ft) per day pipeline would supply Dubai with gas from Qatar's giant offshore North Field, said Nasser Jaidah, new venture director at Qatar's General Petroleum Corporation. "The gas pipeline could see the light if we agree on the prices," he added.

Dubai is seeking to increase its gas imports to satisfy its growing energy needs and also for reinjection in its oil fields to enhance recovery. Qatar is looking for export markets for its gas reserves, the world's third largest after Russia's and Iran's.