• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 5 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 hours Reality catching up with EV forecasts
  • 7 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 1 day 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 6 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 12 days The Federal Reserve and Money...Aspects which are not widely known

Total Reveals $2 billion Invesment Plan for Qatar

French oil major Total has announced its plans to develop the Al-Shaheen oilfield in Qatar over the next five years, at a price of approximately $2 billion. The company recently won a 30 percent stake to operate in the area.

Qatar Petroleum, which is owned by the state, owns the remaining portion of the stake. Saad al-Kabbi said that Total and Qatar Petroleum will form North Oil, a brand new company created for the project. Al-Kabbi said that Total will be in charge of the overall project.

ADVERTISEMENT

Patrick Pouyanne, Total’s CEO, said that the company has plans to invest in the area from 2017 to 2022. Pouyanne added: "This is an important recognition of Total's technical and commercial competence, and the Group will deploy its best technical expertise and experienced teams to this field.”

ADVERTISEMENT

Total will replace Maersk Oil, which has been operating in the Al-Shaheen since 1992 and has a production agreement that will expire next year. Maersk, which is a subsidiary of the Danish company A.P. Moller-Maersk, had been involved in a tender process, and had at one time expected to retain the right to operate in the Al-Shaheen. However, a source in the Qatar oil sector reported that the government issued the tender since it wanted to see production jump to 500,000 barrels per day.

Related: Low Oil Prices See China’s Oil Output Shrink 7.4%

The government had hoped that the Al-Shaheen would have hit 525,000 barrels per day by 2010, as outlined in a 2005 agreement with Maersk, but the capacity has plateaued at 300,000 barrels per day.

The Al-Shaheen oilfield has been producing for 22 years, and at it is responsible for 40 percent of the crude oil produced in Qatar. Over the last 30 years, Qatar has become the largest producer of liquefied natural gas, and its oil minister is the current president of OPEC.

By Lincoln Brown for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

ADVERTISEMENT


ADVERTISEMENT


Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News