Qatar
LNG Market is anticipated to grow at a steady pace in the forecast period
2024-2028. With the increase in the demand for LNG fuel by ship builders, it is
anticipated that LNG would grow over the alternative fuels such as biodiesel,
solar, and wind. In addition, it is anticipated that the use of LNG as marine
fuel in the shipping industry would expand due to the country's increased
demand for natural gas as a result of fewer emissions. Qatar Petroleum
would raise the country's LNG production capacity to 126 million tons per annum
(mtpa) by 2027, marking a 64% increase from the current 77 mtpa.
LNG
has no smell, color, toxicity, or corrosion. Asphyxia, freezing, and
flammability after vaporization into a gaseous form, are some associated risks.
The liquefaction process requires the removal of several substances that could
cause problems downstream, such as dust, acid gases, helium, water, and heavy
hydrocarbons. The natural gas is subsequently cooled to around 162 °C (260 °F),
at which point it is condensed into a liquid at pressures close to atmospheric
pressure. The maximum transport pressure is set at about 25 kPa (4 psi), or
one-fourth of the atmospheric pressure at sea level.
Growing
Demand of Distributed Power to Propel the LNG Market in Qatar
Over
the years, market growth is anticipated to be driven by an increasing
focus on distributed power and utility projects. Demand for liquefied natural
gas (LNG) would rise in different countries due to the anticipated rise in
natural gas demand in the power generating sector. The most popular way to
generate electricity is with coal. However, because of its diminishing supply
and harmful effects on the environment, natural gas and other renewable energy
sources are now used more frequently. Growing public understanding of
alternative forms of energy is one of the main factors contributing to rising
petrol use. Additionally, as transmission and distribution infrastructure
advances, additional demand is anticipated in the coming years.
The
main factor of Qatar's economy has been the oil and gas industry. Although the
industry has continued to receive most of the Qatari investment throughout
time, the focus has progressively changed in favor of growing the nation's gas
output and liquid natural gas (LNG) export capability. The large recoverable
offshore gas deposits in Qatar's North Field have been the driving force behind
the nation's quick economic development. With a GDP per capita of more than
USD84,000 at current prices, Qatar is one of the richest nations in the world
as there is an increase in gas export revenues, which totaled USD132 billion in
2021. Moreover, these revenues also fueled the expansion of the nation's
sovereign wealth fund (SWF), which is to be worth USD450 billion, in 2022.
The
spot price in Asia, where Qatar sells the majority of its gas, dropped to its
lowest level in a decade as a result of a global LNG oversupply. Despite this,
Qatar remained steadfast in its commitment to sustaining growth. The COVID-19
pandemic's subsequent global market upheaval compelled Qatar Petroleum to delay
the beginning of production from its new gas facilities until 2025, but it did
not lead to a decision to cut back the North Field project. Instead, Qatar
Petroleum continued its domestic and international expansion.
In
February 2021, the final investment decision (FID) to move through with the
North Field East development was announced, with Qatar again betting that it
will be able to withstand market shocks. By 2025, capacity at North Field is
anticipated to expand by 43%, from 77 million tonnes per year (mtpa) to 110
mtpa. Phase two will boost production capacity from 110 mtpa to 126 mtpa by
2027, which is a cumulative increase of 64%.
Rising
Investments in Oil & Gas and Utility Projects to Drive the LNG Market
The
economy of Qatar is heavily reliant on the energy sector. According to IMF
projections in 2021, the oil industry contributed 81% of Qatar's overall
government income in 2021, up from 77% in 2020. Revenues from the export of
hydrocarbons increased from USD47 billion in 2020 to around USD77 billion in
2021. In 2021, Qatar was the second-largest LNG exporter, the third-largest
holder of natural gas reserves, and the sixth-largest producer of dry natural
gas in the world (after the United States, Russia, Iran, China, and Canada).
Due to Qatar's high natural gas production, lucrative petroleum liquid
byproducts including lease condensates and hydrocarbon gas plant liquids (HGLs)
are produced in substantial quantities. Additionally, Qatar is a leader in the
production of gas-to-liquids (GTL) and serves as an establishment to the
largest GTL facility in the world.
Doha
introduced its ambitious climate change action plan, the Qatar National
Environment and Climate Change Strategy, 18 months ago. It calls for a decrease
of 25% in the carbon intensity of its LNG plants and upstream operations by
2030. According to reports, a carbon capture and storage (CCS) facility will be
a part of the North Field development and be located in Ras Laffan's CO2
capture and storage cluster. The fact that QE is increasing its investments in
the energy transition shows that it is willing to accept the financial risk
necessary to protect demand as the globe works to achieve net-zero emissions
and to ensure the nation's long-term sustainability.
Liquefaction
Sector to Dominate the Market
In
terms of operating LNG liquefaction capacity as of 2020, Qatar, the United
States, Malaysia, Russia, Indonesia, and Algeria were next, and Australia took
the lead. Australia led Qatar as a market with the highest capacity for
liquefaction in 2019 and as the largest market in 2020. Australia's MTPA
increased by 12.5 MTPA in 2019 because of Ichthys LNG T1-T2 and Prelude LNG,
starting online. At its peak, Ichthys LNG is anticipated to produce more than
100,000 barrels of condensate per day and up to 9.3 million tonnes of LNG and
1.65 million tonnes of LPG, annually. Qatar is expected to restore its position
as the market with the greatest liquefaction capacity by 2026–2027. In February
2021, Qatar finished the North Field East Project (NFE), which comprises of
four 8 MTPA mega LNG trains. The project's expenditure is around 28.75 billion
USD. Furthermore, with the upcoming project of 33 MTPA, Qatar's LNG production
would expand to roughly 110 MTPA by 2027.
Australia,
Qatar, and the United States, the top three LNG exporting countries, accounted
for about 50% of the world's liquefaction capacity as of 2020. The liquefaction
sector is therefore anticipated to dominate the Qatar LNG market during the
forecast period based on the above factors.
Recent
Development
- The
first phase of the North Field East (NFE) project started in 2021. This
project would be the largest liquefied natural gas (LNG) project ever in
terms of capacity. The North Field, the largest non-associated offshore
natural gas field in the world, is where Qatar, the top LNG provider in
the world, plans to increase LNG output. Additionally, the project would
increase the nation's capacity to produce LNG from 77 million tonnes
yearly to 110 million tonnes. The project also generates condensate, LPG,
ethane, sulfur, and helium, in addition to LNG.
- Qatar's
production capacity increased by 30,000 barrels per day when the Barzan
gas plant began operating in 2020. From the North Field East (NFE) and
North Field South (NFS) LNG projects, Qatar is anticipated to generate
260,000 and 120,000 barrels of condensate per day, respectively.
Condensate exports are anticipated to surpass Asian condensate splitters
by 2027 as their capacity and capacity to absorb additional supplies grow
dramatically.
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Market
Segmentation
The
Qatar LNG Market is divided into LNG infrastructure, application, and region.
Based on LNG Infrastructure, the market is segmented into LNG Liquefaction
Plants, LNG Regasification Facilities, and LNG Shipping. Based on Application,
the market is segmented Residential, Commercial and Industrial. The market is
also segmented by region Doha, Al Rayyan, Al Wakra, Umm Slal, Al Khor and Al
Thakhira, and Rest of Qatar.
Market
Players
Major
market players in the Qatar LNG Market are Occidental Petroleum Corporation,
DAKSHIN GROUP WLL, Anotech Energy, Smith International, Inc., Gas Exporting
Countries Forum (GECF), MPH Technical Services, Buzwair Holding, Delta (Doha)
Corporation, Qatar Petroleum, Craig International.
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Attribute
|
Details
|
|
Base Year
|
2022
|
|
Historic Data
|
2018 –
2022
|
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Estimated Year
|
2023
|
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Forecast Period
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2023
– 2028
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|
Quantitative Units
|
Revenue in USD Million, and CAGR for 2018-2022 and 2023-2028
|
|
Report coverage
|
Revenue
forecast, company share, growth factors, and trends
|
|
Segments covered
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LNG Infrastructure
Application
|
|
Regional scope
|
Doha, Al Rayyan, Al Wakra, Umm Slal, Al Khor and Al Thakhira, Rest of
Qatar
|
|
Key companies profiled
|
Occidental
Petroleum Corporation, DAKSHIN GROUP WLL, Anotech Energy, Smith
International, Inc., Gas Exporting Countries Forum (GECF), MPH Technical
Services, Buzwair Holding, Delta (Doha) Corporation, Qatar Petroleum, Craig
International
|
|
Customization scope
|
10%
free report customization with purchase. Addition or alteration to country,
regional & segment scope.
|
|
Pricing and purchase options
|
Avail customized purchase options to meet your exact research
needs. Explore purchase options
|
|
Delivery Format
|
PDF and Excel
through Email (We can also provide the editable version of the report in
PPT/Word format on special request)
|
Report
Scope:
In this report,
the Qatar LNG Market has been segmented into following categories, in addition
to the industry trends which have also been detailed below:
- Qatar LNG Market, By LNG
Infrastructure:
- LNG Liquefaction Plants
- LNG Regasification Facilities
- LNG Shipping
- Qatar LNG Market, By Application:
- Residential
- Commercial
- Industrial
- Qatar LNG Market, By Region:
- Doha
- Al Rayyan
- Al Wakra
- Umm Slal
- Al Khor and Al Thakhira
- Rest of Qatar
Competitive
Landscape
Company
Profiles: Detailed
analysis of the major companies present in the Qatar LNG Market.
Available
Customizations:
Qatar LNG
Market report with the given market data, TechSci Research offers
customizations according to a company's specific needs. The following
customization options are available for the report:
Company
Information
- Detailed analysis and profiling of
additional market players (up to five).
Qatar LNG
Market is an upcoming report to be released soon. If you wish an early delivery
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