The North Field Expansion (NFE) Project in Qatar aims to significantly boost the country’s liquefied natural gas (LNG) production. Valued at US$28.75 billion, this ambitious initiative includes the North Field East (NFE) and North Field South (NFS) projects.
- By 2029, Qatar plans to increase LNG production from 77 million to 142 million metric tons annually by 2030, marking an 85% rise.
- This expansion involves constructing four new production facilities, each capable of producing 8 million metric tons per annum, at the NFE site.
- The North Field East (NFE) project, spearheaded by Qatargas, is set to significantly boost Qatar’s liquefied natural gas (LNG) production.
With an ambitious plan to increase output by 43%, the project aims to raise Qatar’s LNG production capacity from 77 million tonnes per annum (Mtpa) to an impressive 110 Mtpa.
This offshore gas field expansion, situated off the northeast coast of the Qatar peninsula, promises to play a crucial role in Qatar’s energy sector and its National Vision 2030.
Project Overview
Location and Operator
The North Field, the world’s largest single non-associated natural gas field, lies offshore the northeast coast of the Qatar peninsula.
Qatargas operates the NFE project on behalf of QatarEnergy, the national energy company of Qatar.
The field represents the southern part of the massive natural gas field shared between Qatar and Iran, known as South Pars on the Iranian side.
Timeline
The project’s development has been carefully planned to ensure timely execution and maximum efficiency. The drilling of the first development well commenced in March 2020, with the first gas expected by 2025.
The entire project is projected to be completed by 2027. Additionally, the NFE project partners are crucial in ensuring the project’s success, bringing in expertise and resources to support its ambitious goals.
Ownership and Partnerships
QatarEnergy, formerly Qatar Petroleum, holds a 75% interest in the NFE project. In June 2022, QatarEnergy formed joint ventures (JVs) with major international energy companies, including TotalEnergies, Eni, ExxonMobil, and ConocoPhillips.
Another JV agreement with Shell followed in July. Each of these companies holds a 25% interest in their respective JVs, contributing their expertise and resources to the project’s success.
Project Details
Expansion Scope
The NFE project entails the development of four new LNG trains and eight wellhead platforms, from which 80 new wells will be drilled.
The project includes the installation of eight offshore drilling rigs and the laying of four offshore 38-inch trunk lines, along with 28-inch diameter intra-field pipelines.
The NFE project investment is substantial, reflecting Qatar’s commitment to advancing its offshore development capabilities.
In addition, a 250 km-long pipeline will be constructed for gas transfer to Ras Laffan, along with a 250 km pipeline for the supply of monoethylene glycol (MEG) and 280km of fibre optic cables.
This extensive infrastructure will support the project’s massive scale and ensure efficient gas extraction and processing.
Sustainable Features
Qatargas aims to incorporate several sustainable features into the NFE project. Most of the project’s electricity needs will be met through the national power grid of Qatar, primarily sourced from an 800MW solar power plant being constructed in Al-Kharsaah.
Additionally, the expansion will feature enhanced dry low NOx technology to reduce NOx emissions by 40%, and a jetty boil-off gas recovery system to capture and utilize boil-off gas as fuel, offsetting one million metric tonnes of CO2 equivalent emissions annually.
A CO2 capture and sequestration (CCS) system will be integrated with QatarEnergy’s 2.1 Mtpa CCS facility in Ras Laffan, further reducing the project’s carbon footprint.
This project aligns with the National Vision 2030, which emphasizes sustainable energy and economic diversification.
Living Quarters and Infrastructure
An additional living quarters topside was developed on the North Field Bravo platform in March 2021.
This five-level structure can accommodate 90 people and features six deck floors, a crane, three laydown areas, and a steel-structured helipad.
The quarters were fabricated by Rosetti Marino at the Nakilat-Keppel Offshore & Marine (N-KOM) fabrication yard in Ras Laffan Industrial City, Qatar.
Contractors and Contracts
Offshore Facilities
McDermott received the engineering, procurement, construction, and installation (EPCI) contract for topsides, pipelines, and subsea cables for the NFE project in January 2022. This includes the fabrication and installation of eight wellhead topsides, laying 500km of pipelines, and 225km of 33kV subsea cables.
Onshore Facilities
The contract for the NFE project’s onshore facilities was awarded to CTJV, a joint venture of Chiyoda and Technip Energies, in February 2021.
The scope includes the construction and delivery of four 8Mtpa LNG trains, a large CCS facility, and associated infrastructure such as gas treatment facilities and helium extraction and refining systems.
North Field South Expansion
The North Field South (NFS) expansion project represents the second phase of the North Field expansion. Planned for completion by 2027, this phase aims to further increase Qatar’s LNG production to 126 Mtpa.
The NFS project will involve the construction of two additional mega LNG trains, each with a capacity of 8 Mtpa.
Additional Contractors and Services
- McDermott: Front-end engineering and design (FEED) contract for offshore pipelines and topside facilities.
- Daewoo Shipbuilding & Marine Engineering (DSME), Samsung Heavy Industries, and Hyundai Heavy Industries (HHI): Reserved LNG ship construction capacity.
- Gulf Drilling International: Provided six offshore jack-up drilling rigs.
- Northern Offshore Drilling Operations: Contracted for the remaining two rigs.
- Técnicas Reunidas and Wison Engineering: Joint venture for constructing new sulfur-handling facilities.
- Samsung C&T Engineering & Construction (E&C) Group: Contract for building storage and loading facilities for LNG export.
- Baker Hughes: Supplied refrigerant compressors for the new LNG trains.
- Air Products: Provided natural gas liquefaction technology.
- BASF: Supplied gas removal and treatment technologies.
- Kent: Subcontracted to provide EPC services for an accommodation camp.
- Gulf Contracting Company (GCC): Primary EPC contractor for the accommodation camp.
Background and Reserves
Natural gas was discovered on the northeast coast of Qatar in 1971, with 15 appraisal wells drilled over 14 years.
The North Field spans over 6,000km² and contains more than 900 trillion standard cubic feet (tcf) of recoverable reserves, representing approximately 10% of the world’s known reserves.
This vast resource underpins Qatar’s ambitious expansion plans and its strategic role in the global LNG market.
The North Field East Project is a significant initiative undertaken by Qatar Energy to enhance LNG production in Qatar.
Future Prospects and Global Impact
Qatar has announced plans to expand output from the North Field to 142 Mtpa by 2030, an 85% increase from current production levels.
The new North Field expansion, named North Field West, will add 16 Mtpa of LNG per year. This expansion will significantly bolster Qatar’s position as one of the world’s top LNG producers, alongside the United States, Australia, and Russia.
Asian countries, particularly China, Japan, and South Korea, remain the primary markets for Qatari gas. However, demand from European countries has surged due to disruptions in Russian gas supplies.
Qatar has recently secured several long-term LNG supply deals, including agreements with India’s Petronet, US-based Excelerate Energy for Bangladesh, and major European energy companies.
Looking Ahead
The North Field East project represents a monumental effort to enhance Qatar’s LNG production capabilities, ensuring the country remains a dominant player in the global energy market.
Through strategic partnerships, cutting-edge technology, and a commitment to sustainability, Qatar is poised to achieve its ambitious production goals while supporting its National Vision 2030.
As the project progresses, it will not only contribute to Qatar’s economic growth but also play a critical role in meeting the world’s growing energy needs.
