Doing Business In Qatar

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Contact

Qatar Shell Service Company W.L.L
P. O. Box 3747
Al Mirqab Tower 1st Floor
Corniche Road, West Bay
Doha, State of Qatar

Website:
http://www.shell.com.qa

Contact name:
Maartje Snellen, Communications Manager

Contact number:
+974 44957 740

SHELL IN QATAR

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In the last 5 years Shell has invested almost $20 billion in Qatar to build a highly material business that will be delivering value to Qatar and Shell's shareholders. In 2011, Qatar Gas 4 came and Train 1 of Pearl GTL came on stream. When fully operational these projects will represent over 10% of Shell, in terms of production, capital employed and cashflow.

After reopening an office in Qatar in 2002, Shell now has circa 1400 staff on the ground with around 15,000 contractor workers employed on its projects (down from a peak of over 80,000). Shell is the largest foreign investor in Qatar.

 

Pearl Gas to Liquids (GTL)

Shell has worked in partnership with Qatar Petroleum on the development of the Pearl GTL plant, a project which is established under a Development and Production Sharing Agreement with the Government of the State of Qatar.  The project, which was launched in 2006, was officially inaugurated by His Highness Sheikh Hamad bin Khalifa Al-Thani, Emir of Qatar, on 22 November 2011. It is the largest GTL plant in the world today, and at an investment of $18-$19 billion, the Pearl Project is Shell's largest single investment.

At the peak of construction at Pearl GTL, the project employed 52,000 workers. Despite the massive number of workers involved and the complexity of Pearl's construction, a strong safety culture helped Qatar and Shell achieve a record breaking 77 million hours worked without injuries resulting in loss of time in 2010 at the onshore complex.

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By the end of 2010, major construction of Pearl GTL was complete. On 23 March 2011, gas began flowing from wells 60 kilometers offshore. Then the gas processing plant began producing condensate, LPG, sulphur and gas for the GTL process. The GTL plant, which employs Shell proprietary technology, was brought into production in May and converts the gas and oxygen to GTL wax. In the last step of the process, the waxes are cracked and distilled into finished GTL products. The first cargo of GTL Gasoil was shipped in June 2011. Pearl GTL is expected to reach full production in 2012.

Pearl GTL will process around three billion barrels of oil equivalent over its lifetime from the world's largest single gas field, the North Field in the Arabian Gulf. The field stretches from Qatar's coast and contains more than 900 trillion cubic feet of gas about 15% of the worldwide gas resource.

The integrated Project will produce 1.6 billion cubic feet of wellhead gas per day from the North Field and convert in onshore into 140kb/d of GTL products that comprise principally of GTL Gasoil (clear, odourless and cleaner-burning diesel - used in modern diesel engines), kerosene (for aviation), normal paraffins and Naphtha as feedstock for chemical industries and high quality baseoils for lubricants. In addition, Pearl will produce 120kboe/d of upstream products (ethane, sulphur, LPG and condensates). The onshore portion of the project is arguably the most technologically advanced project in the energy business today. Shell filed 3,500 patents in the GTL processes over a research journey of over 35 years.

 

Qatargas 4 (QG-4)

The Qatargas 4 project is an integrated LNG project comprises upstream gas production facilities to produce approximately 1.4 billion cubic feet per day of natural gas, processed into 7.8 million tonnes per year LNG and an average of approximately 24,000 bbl/d of LPG and 46,000 bbl/d of condensate from Qatar's North Field over the 25 year life of the project. The Qatargas 4 LNG train has started up in one of the shortest times in the industry.  Shell has 30% equity share in this train, as for Qatar Petroleum it is 70% and is Shell's first entry into Qatar's liquefied natural gas (LNG) sector. The project combines Shell's global leadership amongst private energy companies in LNG with Qatar's vision to become the world's largest LNG supplier.

LNG from Qatargas 4 will be delivered to customers all around the world from North America to China by the largest LNG carriers chartered from Qatar Gas Transport Company Ltd.  (Known as "Nakilat", which means carriers in Arabic).  LNG fuels flexible and efficient electric power generation in many countries and is a cornerstone of energy security.

The development of Qatargas 4 onshore and offshore facilities had been carried out by Qatargas jointly with Qatargas 3 (a joint venture between Qatar Petroleum, ConocoPhillips and Mitsui development) through a single Joint Asset Development Team.  At the time of development, Shell had seconded over 35 staff into this team and a further 30 Shell secondees work in the Qatargas Operating Company.

 

Stasco / Nakilat

In late 2006 Qatargas Transport Company Ltd (Nakilat) appointed Shell as the shipping and maritime services provider for Nakilat's fleet of some 25 new-build liquefied natural gas (LNG) carriers. These ships are the largest LNG carriers ever built, equivalent in size to the large US aircraft carriers. Shell is providing a full range of shipping services for Nakilat including the staff recruitment and training (1200 officers and crew) and operational management of the vessels in support of Nakilat's aspiration to become a fully integrated LNG shipping company.

 

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Qatar Shell Research & Technology Centre

Technology is at the heart of everything Shell does.  Shell invests more in technology than any other International Oil Company.  In Qatar Shell is an anchor tenant at the Qatar Science & Technology Park (QSTP), a home for technology-based companies from around the world. Shell is committed to invest up to $100 million over 10 years on a world-class research and development programme at the facility in QSTP called the Qatar Shell Research & Technology Centre (QSRTC).

The work at QSRTC is focused on the development and implementation of technologies that support Qatar's energy industry, particularly Qatar's aspirations to be the world's largest Liquefied Natural Gas exporter and the Gas to Liquids (GTL) capital of the world.

Shell was the first tenant to move into QSTP- the Qatar Shell Research & Technology Centre was opened in April 2008. Shell had been conducting research in temporary facilities since 2005.

Even before the science park was inaugurated by His Highness Sheikh Hamad bin Khalifa Al-Thani, Emir of the State of Qatar, and Her Highness Sheikha Mozah bint Nasser Al-Missned, Shell had filed an application for the first patent for scientific work there.  The patent was awarded in 2010.

Other Businesses

  • In December 2010 Shell reached agreement with QP to jointly develop a world class Petrochemical plant in Qatar. This project will feature the largest Mono Ethylene Glycol plant (1.5mtpa) ever built.

  • In 2010 Shell also signed an exploration license for the Block D pre-Khuff interval, an exploration area covering some 8000km2.

  • Shell, QP International and PetroChina are developing a world scale refinery and petrochemical plant in Zhejiang province in China.