Qatar to build new LNG project

Qatar plans to expand exports of liquefied natural gas amid rising demand and a pause on growth projects in the US, a key rival supplier.

The nation, which vies with the US and Australia as the biggest shipper of the fuel, will develop a new 16 million tons a year project before the end of this decade, lifting annual production capacity to 142 million tons by 2030, the country's Energy Minister Saad Al-Kaabi said Sunday.

The expansion opens the way for the Middle Eastern country to secure a dominant long-term role in global exports. It has already signed a succession of deals to sell supply from its current expansion to 126 million tons, including a 27-year pact with China Petroleum & Chemical Corp. and with European companies such as Eni SpA, TotalEnergies SE and Shell Plc. Demand for LNG is forecast to rise more than 50% by 2040, driven by rising consumption in Asia, according to Shell. The expansion follows the discovery of 250 trillion cubic feet of new gas deposits in the North Field, taking overall reserves to about 2,000 trillion, Al-Kaabi said.