Qatar's North Field Expansion sanction may pile pressure on other LNG schemes

摘要

QATAR Petroleum's mouth-watering $28.75 billion final investment decision on its first-phase expansion at the giant North Field has bucked the trend of an oil and gas industry reeling from the effects of the coronavirus pandemic. However, it also posts challenges to other liquefied natural gas projects yet to see the light of day. The investment plan for the four-train expansion phase - named North Field East - has been touted as the largest single LNG project sanction in history and is set to significantly inflate the emirate's production capacity from the current 77 million tonnes per annum to 110 million tpa by the middle of the decade. Qatar has taken a long-term view of the LNG market, taking advantage of its low production costs and rising spot prices as it aims to boost its global market share.