Qatar Petroleum and ExxonMobil to supply LNG to the UK
Qatar Petroleum (QP) and Exxon Mobil Corporation have signed a Heads of Agreement (HOA) for the supply of Liquefied Natural Gas (LNG) from Qatar to the United Kingdom (UK). The HOA covers the development of two LNG trains, whose feed gas will be sourced from Qatar's North Field.
QP will have a 70 percent equity interest in the LNG trains, and ExxonMobil will hold the remaining 30 percent. The trains will be built at the Ras Laffan Industrial City in Qatar. LNG shipments to the UK are scheduled to begin in late 2006 and extend over 25 years. ExxonMobil is currently investigating a number of potential sites in the UK for the import facility that will receive the LNG.
LNG is a widely-used energy source. In its naturally-occurring form, it is most often delivered to customers via pipeline. However, where the gas source is located a long distance from the market, there is another method of transport and storage -- converting the gas into a liquid that occupies around 600 times less space. By liquefying the volume in this way, it becomes economically viable to ship gas from a producing country like Qatar to the United Kingdom. — (menareport.com)
© 2002 Mena Report (www.menareport.com)