QatarEnergy has selected Shell plc as its second partner in the North Field South (NFS) project, awarding a 9.75% stake in the 16 million metric tons/year (mmty) LNG expansion. 

QatarEnergy CEO Saad Sherida Al-Kaabi was joined by Shell CEO Ben van Beurden at a signing ceremony in Doha Sunday. Shell joins TotalEnergies SE, which was awarded a similar stake in NFS last month. 

Qatar intends to sell a 25% interest in NFS and said Sunday it would eventually select a third partner.

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“The new LNG volumes, which Qatar will bring to the market, come at a time when natural gas assumes greater importance in light of recent geopolitical turmoil, and amidst the dire need for cleaner energy to meet global environmental objectives,” Al-Kaabi said. 

NFS would ultimately help boost Qatar’s liquefied natural gas output to 126 mmty from the current level of about 77 mmty. The project would include two LNG trains with the capacity to  produce 8 mmty each, or roughly double what a typical train produces at a large liquefaction facitliy.

Qatar is among the world’s largest LNG producers. NFS is expected to deliver its first cargo in 2027, while the North Field East project is expected to come online in 2026. 

NFE would consist of four trains with the capacity to produce 8 mmty each. QatarEnergy also selected ConocoPhillips, Eni SpA, ExxonMobil, Shell and TotalEnergies as partners in NFE. 

Like the other partners, Shell agreed in July to take a 25% stake in a joint venture company that would ultimately own a quarter of the entire NFE project.  

The LNG expansion was announced in 2018 and later grew in scope after successful appraisal efforts determined that productive layers of the North Field, among the world’s largest gas plays, extend into Qatari land in Ras Laffan. The expansion is expected to add more than 48 mmty of LNG to global supplies by 2027.