DOHA —
France's TotalEnergies on Saturday signed a new
$1.5 billion deal to help expand Qatar's natural gas production as Europe
scrambles to find new energy sources to replace Russian supplies.
اضافة اعلان
But TotalEnergies chairman Patrick Pouyanne and Qatar Energy
Minister Saad Sherida Al-Kaabi expressed surprise at reports that Germany was
resisting 20-year contracts — insisting that Europe must agree longer contracts
to guarantee supplies.
The French energy giant will have a 9.3 percent stake in
Qatar's North Field South project, part of the world's biggest natural gas
reserves, Kaabi said at a signing ceremony.
Pouyanne said TotalEnergies would invest $1.5 billion in the
new field.
It had already agreed in June to put more than $2 billion
into Qatar's North Field East and Kaabi said: "With this agreement, we see
an enhanced position for TotalEnergies as a long term strategic partner."
Twenty five percent of the field is to be reserved for
foreign firms and more deals will be announced in coming weeks, Kaabi said.
Britain's Shell, Italy's ENI and US giants ConocoPhillips
and ExxonMobil have already signed up to be part of North Field East.
Security will cost
Qatar has embarked on a massive expansion of the whole North
Field, aiming to increase its
liquefied natural gas (LNG) production by more
than 60 percent by 2027.
The boost comes as Europe struggles to replace supplies of
Russian oil and natural gas that have fallen victim to the Ukraine war.
Kaabi, who is to host talks with German Chancellor Olaf
Scholz in Doha on Sunday, refused to discuss negotiations with Germany but
expressed surprise at media reports that Qatar was insisting on a 20 year
supply deal.
Russia's invasion of Ukraine in February came as Europe was
already facing an energy crisis and the Gulf state has hosted multiple visits
by European leaders seeking gas supplies.
Europe had rejected the long-term deals that Qatar seeks,
but a change in attitude has been forced as it faces a looming winter of energy
shortages.
"We are in active discussions with the majority of
buyers around the world and some are advancing more than others," Kaabi
told a news conference after the ceremony.
"For us, 15 years plus constitutes a long term
deal," the minister added.
Pouyanne said Europe had to accept longer deals to guarantee
supplies. Producer countries and energy majors have insisted on the need for
certainty in contracts to justify the huge investments needed in the gas
industry.
"Most of the leaders of the world have discovered the
words LNG," said Pouyanne.
"The question is simple — the longer it (the contract)
is, the better the price will be for the buyer.
"If you want a cheap price for a short duration, the
answer will be 'no'."
Qatar is one of the world's top LNG producers, alongside the
United States, Australia and Russia.
State-owned Qatar Energy estimates the North Field holds
about 10 percent of the world's known natural gas reserves.
LNG from the North Field is expected to start coming on line
in 2026.
The offshore reserves extend over the maritime border with
Iran, whose efforts to exploit its adjacent South Pars field have been hindered
by US sanctions.
South Korea, Japan and China have traditionally been the
main markets for Qatari LNG.
Qatar's gas is among the cheapest to produce and has fuelled
an economic boom in the tiny Gulf emirate, which is now one of the world's
wealthiest countries.
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