| Country |
: |
Qatar |
| Project Value |
: |
USD 8,600,000,000 Estimated |
| Sector |
: |
Oil and Gas | Exploration & Production |
|
Consultants |
: |
Chiyoda Corporation - Qatar
(FEED onshore) |
J Ray McDermott
(FEED offshore) |
| Profile Type |
: |
Master Project
|
| Associated Projects |
: |
Contract (2) |
|
Phase:
EPC - Execution
|
|
Completion: 2014
|
|
|
|
| Background |
The JV of Qatar Petroleum (QP)Qatar Petroleum (QP) and ExxonMobilExxonMobil plans to develop the Barzan Gas project to produce gas from Qatar's non-associated North field for utilization in the domestic gas related and petrochemical industries.
The project aims at meeting the natural gas requirements of Qatar’s power and water generating companies.
The project will be developed in three phases. The first phase of the project will be developed in two packages; an offshore package which will produce 1.9 billion cu.ft/d of gas and an onshore package which will process 1.7 billion cu.ft/d of gas. The other two phases are to be implemented in later stages.
Ras Laffan Liquefied Natural Gas CompanyRas Laffan Liquefied Natural Gas Company (RasGasRasGas) will operate the project.
Chiyoda CorporationChiyoda Corporation is the FEED study consultant for the onshore package
J Ray McDermottJ Ray McDermott is the FEED study consultant for the offshore package. |
| Expected Events |
| Schedule |
Contract Phase/Phase |
Description |
| 2014 |
Completion | Project expected to be completed
|
|
| Latest Events |
In November 2011, construction work for the onshore and offshore packages started.
In 2014, the onshore and offshore packages are expected to be completed marking the completion of the project. |
| Previous Events |
In August 2011, engineering work was ongoing for the onshore and offshore packages.
In January 2011, QPQP and ExxonMobilExxonMobil signed a joint venture agreement to develop the project. The EPC contract for the onshore package was awarded to JGC Corporation and the EPC contract for the offshore package was awarded to Hyundai Heavy Industries.
In June 2009, QPQP requested Chiyoda CorporationChiyoda Corporation to conduct engineering works for the project.
In March 2009, QPQP and ExxonMobilExxonMobil decided to delay the project up to a year to benefit from the decrease in costs and to study the possibility of sourcing gas from a new structure in the North field.
In August 2008, the offshore FEED study contract was awarded to J Ray McDermottJ Ray McDermott.
In May 2008, the onshore FEED study contract was awarded to Chiyoda CorporationChiyoda Corporation.
In October 2007, J Ray McDermottJ Ray McDermott submitted a pre-FEED study for the onshore package.
In Q4 2007, QPQP and ExxonMobilExxonMobil started preparing tender documents for the FEED contract (the FEED contract is split into an onshore and offshore part).
On 20 February 2007, Qatar Petroleum and ExxonMobilExxonMobil launched Barzan gas project and signed Statement of Participation Principles for the initial phase and Heads of Agreement (HoA) for all future phases of the project. |
| Scope of Work |
Development of the Barzan Gas Field including:
Offshore:
Installation of three offshore wellhead platforms, riser tower platforms and six pipelines
Onshore:
Construction of two 850 million cu.ft./d gas processing trains
Power supply to existing offshore platforms and sub-sea intrafield pipelines |
| Financing Source |
Royal Bank of ScotlandRoyal Bank of Scotland is the financial adviser.
In the beginning of 2012, the company is expecting to reach a financing close on USD 2.5 billion direct loans with export credit agencies.
In December 2011, Qatar Petroleum and ExxonMobilExxonMobil closed the commercial financing deal for USD 3.8 billion. The deal includes, USD 3.3 billion as a conventional bank tranche, and USD 850 million Islamic debt tranche.
On 31 August 2011, the commitments documents were submitted for the commercial financing deal.
On 18 July 2011, the commercial bank financing was launched.
In November 2010, QPQP and ExxonMobilExxonMobil started negotiations with export credit agencies to secure funding for the project.
In November 2009, the financial adviser contract was awarded to the Royal Bank of ScotlandRoyal Bank of Scotland. The contract includes an initial 3 month assessment of the project, and the role of the financial adviser for the development. |
| Contract Packages |
|
| Project News |
|
|
| Schedule | Contract Phase/Phase | Description |
| 20 Feb 2007 |
Planning | QPQP and ExxonMobilExxonMobil signed HOA to develop the project
|
| Oct 2007 |
FEED | J Ray McDermottJ Ray McDermott submitted pre-FEED study for the onshore package
|
| May 2008 |
FEED | Contract for the onshore package awarded to Chiyoda CorporationChiyoda Corporation
|
| Aug 2008 |
FEED | Contract for the offshore package awarded to J.Ray McDermott
|
| Jun 2009 |
Study | QPQP requested Chiyoda CorporationChiyoda Corporation to conduct engineering works
|
| Jan 2011 |
Planning | QPQP and ExxonMobilExxonMobil signed a joint venture agreement | | | EPC | Contract for the onnshore package awarded to JGC Corporation and contract for the offshore package awarded to Hyundai Heavy Industries
|
| Nov 2011 |
EPC | Construction work for the onshore and offshore packages started.
|
| 2014 |
Completion | Project expected to be completed
|
|
|
Key:
Master Project
Package Project
Contract Project
|
|
 |
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