QatarEnergy awards $10b gas contract to Technip Energies, CCC

DOHA — State-owned QatarEnergy on Tuesday said it awarded a contract worth around $10 billion to a joint venture of France's Technip Energies and Consolidated Contractors Company (CCC) for a landmark natural gas field.

The value of the engineering, procurement, and construction contract for the North Field South (NFS) project "is around $10 billion, and its scope covers the construction of two mega" liquefied natural gas trains with a combined capacity of 16 million tonnes per year, QatarEnergy said.

"Technip holds a comfortable majority of the capital," a source close to the French company told AFP.

CCC is a global engineering and construction firm.

The LNG trains, together with further expansion of North Field East, will boost Qatar's total production from 77 to 126 million tonnes per year, QatarEnergy said.

NFS and North Field East form the wider North Field Expansion project to increase LNG production. The North Field contains the world's biggest natural gas reserves and extends under the Gulf into Iranian territory.

Qatar's Energy Minister Saad Sherida al-Kaabi, who is also QatarEnergy's chief, called the latest deal "another significant milestone in the world's largest LNG project".

The project includes "a large CO2 carbon capture and sequestration facility... leading to 25 per cent-plus reduction of greenhouse gas emissions when compared to similar LNG facilities", Technip said in a statement.

Asian countries led by China, Japan and South Korea have been the main market for Qatar's gas, but it has been increasingly targeted by European countries since Russia's war on Ukraine threw supplies into doubt.