Qatar Won’t Divert Asian Gas Orders to Europe

20.10.2022 - As QatarEnergy works to expand its gas production and trading operations amid a surge in global demand, it has stressed that it will not divert liquefied natural gas (LNG) contracted with Asian buyers to Europe as some governments had hoped.

“The volume that will go to Europe is what has been assigned,” the national gas company’s CEO, Saad al-Kaabi, told international news agencies this week.

"Qatar is absolutely committed to sanctity of contracts, so when we sign with an Asian buyer or European buyers, we stick to that agreement," Kaabi, who is also state minister for energy, added.

The emirate is already among the world's top LNG exporters and is in the process of expanding its vast North Field. QatarEnergy earlier this year awarded stakes in the two-stage project to major Western oil and energy multinationals.  

Two separate German delegations, led by chancellor Olaf Scholz and economics and energy minster Robert Habeck, visited Qatar recently, hoping to secure additional gas supplies. No major deals have emerged as yet.

Vinci Wins EPC Nod for Germany’s first LNG terminal

In other gas news, through its subsidiary Cobra IS and in a consortium with privately owned Sener Engineering, French contractor Vinci Construction said it has signed the engineering and procurement contract to build Germany's first regasification terminal at Brunsbüttel on the mouth of the river Elbe at Germany’s North Sea coast.

With capacity for 10 billion m3 of natural gas annually, the facility will have two 165,000 m3 storage tanks. The terminal will also be equipped with auxiliary operating systems, infrastructure and buildings.

The contractor said the installation, to be delivered in 2026, will enable Germany to import LNG by ship. The sub-zero temperature gas will be kept for storage and regasification before being injected into the national grid or transported by road or rail.

Cobra IS and Sener have already built LNG terminals at Sagunto and Bahía de Bizkaia in Spain, Gate in the Netherlands, as well as at Dunkirk, France, and Zeebrugge, Belgium.

Author: Dede Williams, Freelance Journalist