Subscribe to FDD

Qatar Liquefied Gas Company Ltd. (Qatargas)

Qatar

 

 

 

 

 

Date: October 2008 – Unknown

Deal: In November 2008, the Iranian press reported that Qatargas had a reached a deal that allows it to extract natural gas from Iran's South Pars gas field and liquefy it at Qatar's Ras Laffan. Qatargas signed the deal with the National Iranian Oil Company (NIOC) and the Russian firm Gazprom. Each of the three companies will get a 30 percent stake in the project, with the remaining 10 percent going to a trader (Fars News Agency (Iran), November 12, 2008).

However, the next week, the Chinese news agency Xinhua quoted then Iranian Oil Minister Gholam-Hossein Nozari announcing that "Tehran will not export its gas to Qatar to be liquefied in the Arab country's plants" (Xinhua (China), November 19, 2008). Despite this discrepancy, the two countries have continued talks involving Gazprom (Zawya Dow Jones, September 26, 2009).

There have been no further reports on Qatargas' deal to extract natural gas from the South Pars oil field.

U.S. Business Ties: According to the company's website, Qatargas was originally formed to operate three liquefied natural gas (LNG) trains. The shareholders in this venture are a range of international companies, including ExxonMobil (Qatargas Website, accessed July 14, 2010).

In 2003, according to a company press release, Qatargas signed a deal with ConocoPhillips to develop the Qatargas 3 project in Qatar. LNG from this project "will supply 7.5 million tonnes of LNG annually to the US market beginning in 2009" (Qatargas Press Release, July 15, 2003).

In 2008, according to an industry publication, Qatargas sold LNG to U.S. firm Cheniere Energy for use at the Sabine Pass LNG Terminal in Louisiana (AME Info, June 24, 2008). Qatargas sent another LNG shipment to this terminal in December 2009, according to a company press release (Qatargas Press Release, December 5, 2009).

According to Qatargas' website, in February 2008, the company attended a ground- breaking ceremony in Savannah, Georgia for the expansion of an LNG terminal owned by the El Paso Corporation. LNG from Qatargas will be delivered to the U.S.'s east coast through this terminal. Construction on the LNG project that will feed this terminal from Qatar is expected to be "on track for start-up around the end of the decade" (Qatargas Press Release, February 14, 2008).

According to a Qatari news publication, Qatargas is delaying the startup of new production lines, including the one that would feed the Savannah terminal (train 7), until December 2010 (The Peninsula (Qatar), June 6, 2009).

According to USASpending.gov, Qatargas has received no U.S. government contracts (USASpending.gov, accessed August 13, 2014).

Last Updated: August 13, 2014