Qatar Petroleum has entered into three agreements to reserve LNG ship construction capacity in the Republic of Korea for its future LNG carrier fleet requirements, including its ongoing expansion projects in the North Field and the US.
Under the agreements, the “Big 3” Korean shipyards – Daewoo Shipbuilding & Marine Engineering (DSME), Hyundai Heavy Industries (HHI) and Samsung Heavy Industries (SHI) – will reserve a major portion of their LNG ship construction for Qatar Petroleum until 2027.
The agreements were signed by Qatar Petroleum’s President and CEO in a virtual signing which was attended by Sung Yun-mo, the Minister of Trade, Industry & Energy of the Republic of Korea amongst others.
Speaking at the signing, Minister Al-Kaabi, said, “The signing of today’s agreements with the three esteemed Korean companies reflects our commitment to the North Field expansion projects, evening during these extraordinary times.”
“As I have previously stated, we are moving full steam ahead with the North Field expansion projects to raise Qatar’s LNG production capacity from 77 million today to 126 million tonnes per annum by 2027 to ensure the reliable supply of additional clean energy to the world at a time when investments to meet these requirements are most needed.”
“These agreements will ensure our ability to meet our future LNG fleet requirements to support our expanding LNG production capacity and long-term fleet replacement requirements.”
“With the conclusion of these milestone agreements, we have everything in place to commence the largest LNG shipbuilding program in history. We have secured approximately 60% of the global LNG shipbuilding capacity through 2027 to cater for our LNG carrier fleet requirements in the next 7-8 years, which could reach 100+ new vessels with a program value in excess of 70 billion Qatari Riyals.”
Qatar Petroleum’s LNG carrier fleet program is the largest of its kind in the history of the LNG industry, and will play a pivotal role in meeting the shipping requirements of Qatar Petroleum’s local and international LNG projects, as well as replacing part of Qatar’s existing LNG fleet.