Skip to content Skip to Search
Skip navigation

Sinopec takes 5% stake in Qatar’s $29bn LNG project

Saad Al-Kaabi, CEO of QatarEnergy and Ma Yongsheng, chairman of Sinopec, sign a definitive partnership agreement for North Field East expansion project

China Petrochemical Corporation (Sinopec) will acquire part of the $28.8 billion North Field East (NFE) expansion project, said state-owned QatarEnergy,

The state-run Chinese company will take a five percent stake in the equivalent of one North Field East LNG train with a capacity of eight million tonnes per year, Qatar’s oil major said in a statement.

The agreement marks the entry of Sinopec as a shareholder in one of the NFE joint venture companies, which owns the LNG project.

Saad Al-Kaabi, president and CEO of QatarEnergy, said: “China is a major driver of the global energy markets, as well as being one of the most important gas markets in the world and is a key market for Qatari energy products.”

Ma Yongsheng, chairman of Sinopec, added that the cooperation with QatarEnergy will help Sinopec further optimise China’s energy consumption structure and enhance the security, stability, and reliability of clean energy supply.

The statement added that the agreement will not affect the participating interests of any of the other shareholders.

The agreement is the first after last year’s series of partnership announcements in the NFE project, which will raise Qatar’s LNG export capacity from 77 million tons per annum (MTPA) to 110 MTPA.

Last November, Sinopec signed a deal in which QatarEnergy agreed to supply 4 million tonnes of LNG annually for 27 years – the longest LNG contract signed by Qatar.

QatarEnergy has announced plans to retain a 75 percent stake in the North Field expansion, which will cost at least $30 billion and includes constructing liquefaction export facilities.  

Latest articles

As part of the agreement, Lenovo will establish its Middle East and Africa headquarters in Saudi Arabia

China’s Lenovo issues $2bn bonds to repay Saudi Alat debt

China’s Lenovo Group has issued $2 billion in convertible bonds to Alat, a Public Investment Fund (PIF)-backed technology manufacturing company, to repay its existing debt and boost working capital. As part of the agreement, the Hong Kong-headquartered personal computer maker will open a new PC and server manufacturing facility and establish its Middle East and Africa […]

A UBS report shows wealthy Latin American families are more likely to invest in the Middle East than US or European counterparts

Wealthy Latin Americans more likely to invest in Middle East

Wealthy Latin American families were more present as investors in the Middle East than those from other parts of the world in 2023, a global banking report says, but overall numbers are low and down from 2022.  UBS bank’s Global Family Office Report for 2024 showed that Latin American families had placed 2 percent of […]

Elon Musk launched xAI last year. It will use the new funding to bring products to market and research technologies

Prince Alwaleed part of Elon Musk’s $6bn AI funding round

Elon Musk’s artificial intelligence startup xAI has secured $6 billion in a series B funding round led by investors including Saudi billionaire Prince Alwaleed Bin Talal and his investment firm Kingdom Holding Company. The round, which also included investments from Dubai-based Vy Capital and US companies Andreessen Horowitz and Sequoia Capital, will assist the commercial […]

PIF space unit

PIF launches space unit, despite Saudi funding constraints

Saudi Arabia’s Public Investment Fund has launched a space unit to develop off-planet commercial activities, despite challenges the sovereign wealth fund faces funding Saudi Arabia’s giga-projects.  The PIF-owned Neo Space Group will invest in satellite navigation and communications, Earth observation and remote sensing. It will also include a venture capital fund to help Saudi startups […]