Transcript No Slide Title

History and Future Opportunities
In The Oil & Gas Industry In Qatar
Doha, October 1st , 2005
Contents
• Introduction
• Crude Oil, Exploration and Development
• Gas Development
• Conclusions
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Introduction
•
Qatar witnessed a transformation of its energy sector from a
declining oil based industry to a thriving one based on a
diverse mix of oil, gas and petrochemical
•
Growing international investor confidence. S & P raised 2003
Qatar rating to A+
•
Key Achievements:

Significant increase in reserves and doubling of oil production

Rapidly expanding LNG sector

Creation of Gas to Liquid (GTL) industry

Participation of major international companies and private sector
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CRUDE OIL
EXPLORATION
&
DEVELOPMENT
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Crude Oil Exploration & Development
• Oil Production Capacity Doubled in Last 10 Years
Through PSA Contracts
• Current Oil Production 750-800 MBOPD
• New Development Plans will Enable Production
Capacity to be Increased and Sustained for Many
Years
• Reserves Expected to Increase Even with Increased
Production
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PSA Fields: Recent Financial Investments
• Al-Shaheen (Maersk) FDP 2001: 1.2 Billion US$, Total
Investment to date over 2 Billion US$
• Al-Khalij (Total) New Phased Dev.: Over 300 mm$
• Al-Rayyan (Anadarko) New Facilities + Wells: ~ 200 mm$
• Idd El-Shargi North (Oxy) Dev. (2002 – 2006): ~ 700 mm$
• Idd El-Shargi South (Oxy) New Dev.: ~ 230 mm$
• Al-Karkara & A-Structure (QPD) New FDP: ~ 100 mm$
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PSA Fields: Recent Technical Achievements
• Al-Shaheen: Very Complex Carbonate & Sandstone
Reservoir being Developed with some of the World’s
Longest Horizontal Wells
• Al-Khalij: Water Separation Offshore and Re-injection
into Complex Mishrif Reservoir
• Al-Rayyan: Coiled Tubing Conveyed ESP
• Idd El-Shargi North & South: Many Complex
Extended Reach Horizontal Multi-Lateral Wells
• Al-Karkara & A-Structure: Gas Re-injection into
Reservoir to Achieve Zero Flaring
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Exploration and Appraisal Activities
• Evaluation of Regional Hydrocarbon Systems
• Numerous 3D Seismic Data Acquisition
• Introduction of 4C Seismic Data Acquisition
• Pre-Khuff Evaluation Study
• Exploration & Appraisal Drilling
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0
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2003
2002
2001
800
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
1989
1988
400
1987
1986
1985
Production, MBOPD
Total Oil Production, MBOPD
PSA
700
600
500
QP
300
200
100
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Reserves – QP Operated & EPSA / DPSA Fields
6,000
Total Investment EPSA – DPSA
Operators (1996-2004) = $B 4.9
Reserves, MMSTB
5,000
4,000
EPSA
DPSA
Reserves Added
(QP Ops.)
3,000
2,000
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2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
1989
1988
1987
1986
0
1985
1,000
10
DUKHAN, MM & BH, EPSA
4
12
5
(5) MAERSK
(6) TOTAL
(2) ENCANA
(11) WINTERSHALL CONS.
(13) (12) ANADARKO/OMV
(10) TALISMAN
(4) ANADARKO
3
13
11
10
6
BAHRAIN
8
QATAR
14
7
2
1
9
DPSA
ISND, ISSD – OXY
AL-KARKARA &
STRUCTURE A - QPD
BIDS
SAUDI
ARABIA
NN
NEW BLOCKS
3, 14
QATAR EXPLORATION / DEVELOPMENT
Areas Situation
Area with
BIDS 0.3%
OPEN 46.7%
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EPSA/DPSA
49.8%
QP 3.2%
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GAS
DEVELOPMENT
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Objectives of Qatar Gas Industry
• Major Player and Exporter in the World Gas
Industry Through Diversification
o
Pipeline
o
LNG
o
Gas to Liquid Conversion (GTL).
• Local Demand for Gas:
o
Power Generation and Desalination.
o
Hub for Gas Based Industries.
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Qatar Pipeline Gas For Export & Local Demand
Two projects for export and local demand:
• AKG (Al-Khaleej) Project:



Under DPSA between Government of the State of Qatar
and ExxonMobil
Total capacity 1.75 BCF/D of Sale Gas
Phase (1) ~ 0.75 BCF/D under construction to supply
local industries in Ras Laffan and Mesaieed area.


•
ORYX GTL Project, IPP, Gas Grid
Other opportunities for export.
The Dolphin Project:

2 BCF/D of Sale Gas to UAE

Development plan has been approved
EPC Contracts signed
First gas by end-2006


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Qatar LNG Industry
•
During the last 10 years, Qatar became one of the leading
supplier of LNG.
•
In the next 10 years, Qatar expected to be the Largest
LNG Exporter in the World.
•
LNG industry is based on two major LNG Joint Ventures
namely QatarGas and RasGas in Ras Laffan.
•
Operating Projects:

QatarGas I : 3 Trains, capacity ~ 9 mmta export to Japan &
others

RasGas I : 2 Trains, with 6.6 mmta capacity, committed to
Korea and others
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Qatar LNG Industry
•
Under Construction Projects:

•
•
RasGas II : 3 x 4.8 mmta trains, capacity of 14.4 mmta,
startup 2005 & 2007, to supply India, Italy and others.
Committed Projects:

QatarGas II : 2 x 7.8 mmta trains with total capacity 15.6
mta, startup early-2008, to supply to the U.K.

QatarGas III : 1 x 7.8 mmta, total capacity 7.8 mmta, startup
2009 to supply USA.

RasGas III : 2 x 7.8 mmta, with total capacity of 15.6 mmta,
startup 2008, to supply USA
Total LNG production capacity by start of next decade will be
about 77 mmta.
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Gas To Liquid (GTL) Projects
•
Qatar has undertaken a strategic decision to be the world
capital of GTL
•
The world’s largest GTL project (ORYX GTL), JV between QP
and SASOL with capacity of 34000 B/D, first production by
end 2005
•
DPSA signed with SHELL for the development of a mega
integrated GTL project (upstream and downstream). Two
trains will be constructed each with a capacity of 70,000 B/D
of GTL liquids. Startup end of 2009
•
HOA was signed with ExxonMobil for the development of
154,000 BPD GTL Project. Target commissioning 2011
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Gas To Liquid (GTL) Projects
•
Other GTL Projects Under Consideration:

Proposals from various companies are under evaluation

All are integrated upstream/downstream projects

Production capacities: 100,000 – 160,000 bbl/day per
project

Gas required: 1.0 – 1.7 Bscf/day per project

GTL Products: Diesel, Naphtha and Lube Oil

Startup dates: Beyond 2012
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Investment in North Field
Development Projects and Gas Based
Industries in Qatar
• Period 1990 to 1999:
About US$ 13.4 Billion
• Period 2000 to 2010:
Over US$ 60 Billion
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Conclusions
• Oil prospectivity of the North and North West area of
Qatar is high.
• Oil production capacity doubled in last 10 years
through PSA Contracts
• Plan to increase production capacity further with
additional field development
• Oil reserves are expected to increase significantly in
coming years even with increased production
• North Field gas utilization is projected to reach
around 19 BCF/D by end of current decade
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Conclusions
• Qatar is currently a leading and reliable supplier of
LNG.
• Qatar vision of becoming the GTL capital of the
world is approaching reality.
• Opportunities for EPC / Construction companies to
participate in various upstream and downstream oil
and gas projects
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THANK
YOU
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