The US-based energy company and QatarEnergy have agreed to form a 25:75 joint venture, which will hold a 25% stake in the four-train liquefied natural gas project that will have a capacity of 32 million tons per annum
ExxonMobil becomes the fourth partner in the North Field East LNG project. (Credit: QatarEnergy)
ExxonMobil has joined the $28.75bn North Field East (NFE) expansion project in Qatar as the fourth partner after signing a deal with QatarEnergy.
The US-based energy company and QatarEnergy have agreed to form a joint venture (JV), which will hold a 25% stake in the liquefied natural gas (LNG) project.
The Qatari project will be equipped with four LNG trains that are designed to have a combined capacity of 32 million tons per annum (Mtpa).
In the JV, QatarEnergy will have a 75% stake, while the remaining 25% will be held by ExxonMobil.
Qatar Minister of State for Energy Affairs and QatarEnergy president and CEO Saad Sherida Al-Kaabi said: “Today, we are signing a partnership agreement with ExxonMobil, our strategic and long-term partner, with whom we have enjoyed successful and fruitful relations in Qatar and across the globe.
“This is primarily due to the mutual trust and confidence between both parties, and to the State of Qatar’s safe and stable investment climate.”
With its participation in the North Field East LNG project, ExxonMobil is expected to increase its LNG volumes in Qatar from 52Mtpa to 60Mtpa.
ExxonMobil chairman and CEO Darren Woods said: “We are collaborating with QatarEnergy on North Field East to accelerate the production of secure, affordable and cleaner energy our world needs.
“ExxonMobil has a long history of working in Qatar, responsibly producing energy, and we look forward to continuing our relationship for the benefit of all of our stakeholders.”
QatarEnergy had recently signed similar JV deals with TotalEnergies, Eni, and ConocoPhillips for the North Field East LNG project.
Its JV with TotalEnergies will have a 25% stake, while the JVs with Eni and ConocoPhillips will have stakes of 12.5% each in the LNG project.
Through the NFE expansion project, Qatar is aiming to increase its LNG export capacity from the current 77Mtpa to 110Mtpa.
First LNG from the project is expected to be produced in 2026. QatarEnergy had previously set a target of fully completing the project in 2027.
The Qatari state-owned company is also planning another expansion project, the North Field South project, which will further increase Qatar’s capacity to 126Mtpa.