China’s Sinopec has become the first Asian firm to secure a stake in Qatar’s 32mn t/y North Field East (NFE) LNG expansion project. On 12 April, QatarEnergy accounted that it “will transfer to Sinopec a 5% interest in the equivalent of one NFE train with a capacity of 8 million tons per annum.” This is equivalent to 1.25% of the overall NFE project, a stake far smaller than the previous awards which range from 3.1-6.3% (MEES, 4 November 2022). QatarEnergy’s stake now stands at 73.75%.
QatarEnergy CEO Saad Sherida al-Kaabi had previously stated that Asian buyers stood to secure stakes, and Sinopec was a frontrunner. The firm was the first to sign up to supplies from the NFE, with a massive 4mn t/y, 27-year deal inked last November (MEES, 25 November 2022). Hailing the importance of China as a gas market, Mr Kaabi said that the deal “underscores QatarEnergy’s commitment to deepening its relationships with key LNG consumers, while prioritizing long-term strategic partnerships and alignment with world class partners from China.” (CONTINUED - 208 WORDS)