By OGJ editors
HOUSTON, July 11 -- Qatar Petroleum (QP) and ConocoPhillips Friday reporting signing of a heads of agreement for the development of Qatargas 3, a large-scale LNG project to be built in Qatar and to service the US. "The agreement provides the framework for the necessary project agreements and the completion of key feasibility studies," the companies said.
Qatargas 3, which will be jointly owned by QP and ConocoPhillips, will be constructed at Ras Laffan Industrial City. The project will consist of production facilities that will produce from Qatar's North field and will yield about 7.5 million tonnes/year of LNG. The LNG will then be shipped from Qatar in a "fleet of state-of-the art LNG carriers," the companies said.
ConocoPhillips, which will purchase the LNG, also will supervise the regasification and marketing of the LNG within the US. Average sales volumes are expected to be about 1 bcfd of gas. Startup of the project is anticipated during 2008-09.
"Qatar's abundant gas resources can provide a secure and much-needed long-term supply for the growing US gas market before the end of the decade," ConocoPhillips said.