Chevron giant to establish a permanent presence in Qatar
The agreement includes a plant to be commissioned in 2026 at the Ras Laffan complex, Qatar’s industrial port and the heart of its gas industry. It will produce 2.1 million tons of ethylene and 1.7 million tons of polyethylene derivatives per year.
The plant will produce “less waste and greenhouse gas emissions” than similar facilities around the world, said Saad al-Kaabi, Qatari energy minister and CEO of Qatar Energy.
Qatar Energy holds a 70% stake in the joint venture, with the remaining 30% held by Chevron Phillips.
“This is Qatar Energy’s largest ever investment in Qatar’s petrochemical sector and the first direct investment in 12 years,” Kaabi boasted at the signing ceremony in Doha.
Thanks to the Ras Laffan oil complex, Qatar’s petrochemical production will increase to nearly 14 million tons per year.
According to Mr. Kaabi, this investment “marks an important step” in the expansion strategy of Qatar Energy.
Both ethylene and polyethylene are used in a multitude of plastic products, from pipes to water bottles to food packaging.
In fact, Qatar is one of the world’s leading producers of liquefied natural gas (LNG), with significant reserves, including the offshore North Field, the world’s largest natural gas field, which it shares with Iran.