QatarEnergy signs $10bn EPC contract for North Field South project

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Liquefied natural gas tanker LNG.

QatarEnergy has announced the award of a $10 billion engineering, procurement, and construction (EPC) contract for the North Field South (NFS) project. This contract represents a significant step towards increasing Qatar’s liquefied natural gas (LNG) production capacity from the present 77 million tonnes per annum (MTPA) to an ambitious 126 MTPA.

The NFS project features two LNG mega trains, with a combined capacity of 16 MTPA. The EPC contract was officially signed by Saad Sherida Al Kaabi, Minister of State for Energy Affairs and President and CEO of QatarEnergy; Arnaud Pieton, President of Technip Energies; and Oussama El Jerbi, CCC Managing Director Qatar. The signing ceremony was attended by high-ranking executives from QatarEnergy, Qatargas, Technip Energies and CCC, including Khalid bin Khalifa Al-Thani, the CEO of Qatargas.

Under this $10 billion contract, two mega LNG trains will be constructed, each with a capacity of 8 MTPA. The contract further includes construction of related facilities for gas treatment, natural gas liquids recovery, helium extraction, and refining within Ras Laffan Industrial City.

The NFS project stands out for its focus on environmental sustainability. The project will include carbon capture and sequestration facilities, and a significant part of its electrical power needs will be met through renewable solar power. This power will come from QatarEnergy’s solar power facilities currently under construction in Ras Laffan Industrial City. Additionally, the project will feature a Jetty Boil-Off Gas (JBOG) recovery system aimed at reducing greenhouse gas emissions.

The NFS project also demonstrates a commitment to water conservation, with plans to save five million cubic meters of water annually by reclaiming 75% of the plant’s tertiary water. Nitrogen Oxides (NOx) emissions will also be curbed through the use of advanced Dry Low NOx technology.

Saad Sherida Al Kaabi expressed his excitement about the EPC contract award, stating, “QatarEnergy is thrilled to reach another significant milestone in the world’s largest LNG project, reaffirming our dedication to satisfying the global Natural Gas demand.”

He further highlighted the environmental attributes of the project, noting that it houses one of the largest CO2 capture and sequestration facilities, marking a key step towards QatarEnergy’s goal of capturing and sequestering over 11 MTPA of CO2 by 2035.

In collaboration with the North Field East (NFE) project, NFS will significantly enhance Qatar’s LNG production capacity. QatarEnergy holds a 75% stake in the NFS project and has secured partnership agreements with TotalEnergies, Shell, and ConocoPhillips for the remaining 25%.

The EPC contract was celebrated in a dedicated ceremony, marking the commencement of a joint venture between Technip Energies and Consolidated Contractors Company (CCC) for the construction of the two LNG trains and associated facilities.

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