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Qatar awards $10bn contract to boost LNG project

The signing of the EPC contract for North Field South project by company executives

Qatar has signed a $10 billion contract with joint venture headed by French engineering and technology company Technip Energies which aims to substantially increase the capacity of the North Field South (NFS) gas project.

State-owned QatarEnergy signed the engineering, procurement, and construction contract for the NFS project with a joint venture consisting of Technip Energies and Athens-headquartered Consolidated Contractors Company (CCC), one of the largest construction companies in the Middle East.

The project comprises two LNG mega trains with 16 million tons per annum (MTPA) combined capacity, the energy major said in a statement.

Together, NFS and the North Field East (NFE) project will increase Qatar’s LNG production capacity from the current 77 MTPA to 126 MTPA.

QatarEnergy holds a 75 percent interest in the NFS project and has already signed partnership agreements with TotalEnergies, Shell, and ConocoPhillips for the remaining 25 percent.

QatarEnergy CEO Saad Al Kaabi said the NFS project includes one of the largest CO2 capture and sequestration facilities and constitutes an important step towards achieving QatarEnergy’s target of more than 11 MTPA of CO2 capture and sequestration by 2035.

The EPC contract’s scope covers the construction of two mega LNG trains with a capacity of 8 MTPA each, with associated facilities for gas treatment, natural gas liquids recovery, and helium extraction and refining within Ras Laffan Industrial City.

In addition to the carbon capture and sequestration facilities, NFS will import a significant portion of the project’s electrical power needs through renewables, which will be generated at QatarEnergy’s solar power facilities currently under construction in Ras Laffan Industrial City.

The project will have a ‘jetty boil-off gas’ recovery system, which will help reduce greenhouse gas emissions and conserve five million cubic metres of water per year by recovering 75 percent of the plant’s tertiary water.